Maryland is ending the year with more money in its pocket than expected, but state budget officials warn that the next two years could be bumpier.

Maryland’s Board of Revenue Estimates delivered a mixed fiscal outlook on Thursday, projecting steady but slowing revenue growth over the next two years as state and federal tax changes reshape collections and widespread federal job cuts weigh on the economy.

According to the meeting, Maryland closed fiscal year 2025 stronger than expected, bringing in $520.7 million above estimates.

The board shared that most of those gains came from higher personal income taxes and strong consumer spending.

Personal income tax revenue alone exceeded expectations by $263.7 million (7%), while sales taxes outperformed by $72.4 million (2.6%).

Corporate taxe

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