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April 15, 2024
Question

For my Maryland Return. My husband works in MD however resides in PA. I am trying to figure out what numbers to put in for the non-maryland income allocation section.

  • April 15, 2024
  • 2 replies
  • 0 views
interest income, dividend income, capital gain or loss.

2 replies

Hal_Al
Employee
April 18, 2024

Why are you filing a MD return? MD & PA are reciprocal states. 

Employee
April 18, 2024

To elaborate a bit on @Hal_Al 's answer:

 

Reciprocity means that PA residents who work in MD do not have to pay MD state income tax on their W2 income.  That income is taxed only by their home state of PA.  Hence PA residents cannot claim an "other state credit" for MD taxes unless they have income from MD other than W2 work income.

 

Your husband's employer should not be withholding MD taxes from his pay.  If they are, then he should file MD Form MW507 with his employer in order to claim exemption from MD withholding.  Here's a link to that form:

https://www.marylandtaxes.gov/forms/current_forms/mw507.pdf

 

**Answers are correct to the best of my ability but do not constitute tax or legal advice.