Live in NH, remote work in NH, company based in MA - 2021 treatment

Although there were some COVID-19 restrictions lifted on June 15, 2021, Massachusetts COVID-19 telecommuting rules ended September 13, 2021. On this day, telecommuting tax rules ceased to be in effect and the Commonwealth reverted to its standard taxation of residents and nonresidents. As such, Massachusetts nonresidents will only be subject to Massachusetts personal income tax on actual Massachusetts work-days after the special rules expire.

However, during the Covid-19 State of Emergency, per the State of Massachusetts, there were special rules for wages or other compensation paid to employees who are working remotely (working from home or a location other than their usual work location) due to the COVID-19 Pandemic. 

Non-residents were taxed on items of gross income from sources within the Commonwealth, including income derived from or connected with any trade or business, including any employment, in Massachusetts. These rules were effective for the period beginning March 10, 2020 and ending 90 days after the Governor of Massachusetts gives notice that the Massachusetts COVID-19 state of emergency declared in the Governor’s Declaration of a State of Emergency to Respond to COVID-19 is no longer in effect.

Previously issued emergency orders and guidance associated with the COVID-19 State of Emergency was in effect from March 10, 2020 through September 13, 2021. Therefore, you would be responsible for Maschusettes tax on wages during that time. 

TIR 20-15: Revised Guidance on the Massachusetts Tax Implications of an Employee Working Remotely due to the COVID-19 Pandemic