Live in Maryland and work in Virginia

Forum|Forum|2 years ago
February 8, 2024
1 reply
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Hello! I am almost done completing my taxes. My Virginia job withheld taxes from my pay for Virginia even though I live in Maryland. Because of this I am filing with Virginia, too (using the desktop download TurboTax). One of the last sections of the Virginia taxes says “enter your expected refund amount”. Is that supposed to be the amount that Virginia withheld that is listed on the W2? I know that Maryland and Virginia have a reciprocal agreement. There were no help or instruction links with this question. Thanks!

Best answer by SteamTrain

And yes, the refund amount you expect to get from VA is just the VA withholding on that W-2.

AND #2: if you see a section in the MD Q&A section about taking a credit for taxes paid to another state (i.e. VA) ...that's a Nope...MD expects you to get the VA withholding $$ refunded to you...no credit for that.

SteamTrain

Employee

Here's waht I would recommend

Delete the VA tax return entirely (But not the W-2 itself)! All that income is only to be taxed by MD, and thus you may owe them quite a bit.

You only need the VA form ....763-S.

This form 763-S has to be mailed in, with the state copy of your W-2 showing the erroneous VA withholding

(I hope you fixed that with your VA employer to have that stopped entirely....the employer "might" even be able to withhold MD taxes instead.)

You can get a fillable PDF copy of the 2023 form 763-S on the VA Dept of Revenue website here:

Forms | Virginia Tax

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*

MR32019Author

My job withheld for both states and I was able to get them to stop withholding in Virginia. The TurboTax instructions were to file with my resident state AND the state with a reciprocal agreement if that state with the reciprocal agreement withheld taxes. As I was going to finish filing it does say that I will need to mail in the Virginia return, but I don’t know if it is the form you mentioned?

SteamTrain

Employee

Sorry, that I don't know. Gues you could fill it out and see what happens...but with the Online software, you'll have to pay for each state's software set, even if it ends up being only one VA form. I was hoping you could avoid the extra state charge by using just the MD tax forms.

________

We can try to prompt @DJS To see if he knows whether the VA software will create JUST the form 763-S in your situation. He used to work specifically with the VA software, but I haven't noticed him in this forum recently.

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*