How do I resolve major latency issues in Logic Pro X on a new MacBook Pro with M4 Max?

Latency is a general issue of digital processing. Understanding what causes latency in general can help to reduce it.

• The lower the I/O buffer size (audio buffer size), the lower the latency of cost of higher cpu load.
• The higher the sample rate, the lower the latency of cost of higher cpu load.
• Every plugin and computation causes latency. Some plugins cause more latency than others. Especially plugins in the field of spectral sound design, analog simulation and pitch can cause high latency. --> Solution: Clean up unnecessary plugins and Freezing/Bouncing Tracks.
• Oversampling introduces Latency. --> Solution: Freezing/Bouncing Tracks.
• If Plug-in Latency Compensation is activated, which is and should be the default setting, the latency generated by all plug-ins used in the project is summed up.
• Latency of different sound cards or devices can vary.
• Sometimes flexed audio tracks can cause latency. .--> Solution: Freezing/Bouncing Tracks.
• Using Low Latency Mode while recording is a big help. It's de-activating some plugins but this can cause changes in sound. Don't forget to switch off Low Latency Mode while playback !

• Freezing tracks with many latency-producing plugins can help to reduce Latency.
• Avoid changing Recording Delay.

Manage input monitoring latency in Logic Pro for Mac - Apple Support

Set your Microphone Mode to Standard. (0range icon)