Reciprocal tax agreements between two states allow residents of one state to work in another state without having state tax withheld from their pay. An employee may complete a reciprocity exemption form to notify their employer of their reciprocity arrangement. Employees should notify their employer to withhold taxes in their state of residence by completing the appropriate state tax form, where applicable.
|
Work State |
Resident State |
Form |
|
Arizona |
California Indiana Oregon Virginia |
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|
District of Columbia (D.C.) |
All States |
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Illinois |
Iowa Kentucky Michigan Wisconsin |
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Indiana |
Kentucky Michigan Ohio Pennsylvania Wisconsin |
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Iowa |
Illinois |
|
|
Kentucky |
Illinois Indiana Michigan Ohio (May not be shareholder of 20% or more in a S Corp) Virginia (must commute daily) West Virginia Wisconsin |
|
|
Maryland |
District of Columbia Pennsylvania Virginia West Virginia |
|
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Michigan |
Illinois Indiana Kentucky Minnesota Ohio Wisconsin |
|
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Minnesota |
Michigan North Dakota |
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Montana |
North Dakota |
|
|
Work State |
Reciprocal Resident State(s) |
Form |
|
New Jersey |
Pennsylvania |
|
|
North Dakota |
Minnesota Montana |
|
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Ohio |
Indiana Kentucky Michigan Pennsylvania West Virginia |
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|
Pennsylvania |
Indiana Maryland New Jersey Ohio Virginia West Virginia |
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Virginia |
District of Columbia Kentucky Maryland Pennsylvania West Virginia |
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West Virginia |
Kentucky Maryland Ohio Pennsylvania Virginia |
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Wisconsin |
Illinois Indiana Kentucky Michigan |
The information contained within this document is subject to change. The information is for educational purposes only and should not be construed as legal advice, direction, or consent.