@ashleyswing --
Your year-end W-2 will (presumably) shown the mistakenly withheld MD city and state income taxes. If you want to get a refund of those taxes, you'll have to submit a non-resident MD tax return, on which you allocate zero income to MD.
Your withheld NC taxes will be a bit less than they should otherwise have been, which will of course affect your net taxes owed to NC.
Remember that your income is not subject to MD income tax only to the extent that it is carried on from an NC location. Income from work actually (physically) performed from an MD location is taxable by MD.
**Answers are correct to the best of my ability but do not constitute tax or legal advice.
