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March 23, 2025
Question

Why is my state tax that i owe so high? i live in IN and work in MI. its not giving me the city option to click on that i work in also.

  • March 23, 2025
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1 reply

March 23, 2025

If you live in Indiana and work in Michigan, there is a reciprocal agreement between the two states.  Meaning, you do not need to file a Michigan tax return, you just file a resident Indiana return and you employer should have only withheld Indiana tax.

 

Here is more information on reciprocal states: What is a state reciprocal agreement?