Bag Reduction Surcharge

Effective July 9, 2021, the $0.01 Bag Surcharge is collected by grocers and retailers when providing the above referenced checkout bags to its customers.The Bag Surcharge is due to the City on or before the 25th day of the month following the month of collection by the grocers and retailers.

1. Grocers and retailers shall remit to the Baltimore City Director of Finance $0.01 surcharge tax collected with the $0.05 fee per bag, and the remittance should come with a monthly detailed report of all bags provided. 
2. The $0.05 charge is not a taxable item; grocers and retailers should not apply sales tax to this fee.
3. All grocers and retailers providing checkout bags in the City of Baltimore shall apply to the Baltimore Finance Department for a taxpayer identification (ID) number.
4. The ID shall uniquely identify each eligible grocer or retail location. Chain retailers will request individual tax ID per location and remit their taxes and reports to the City by location.
5. Registration and payments are to be done online at Cityservices.baltimorecity.gov/bagtax.
6. Only one user ID and password are allowed per account.
7. Frequently asked questions and answered are available at www.baltimoresustainability.org.