Anonymous
Not applicable

How does withholding work when working in another state?

Hi,

I live in California, but the company I work for is located in Pennsylvania. I work completely remotely and have not set a foot in PA. In such a case...

  • To which state do I pay state taxes? Do I first file a non-resident tax for PA and then get tax credit for it when filing a resident tax for CA?
  • For which state do I withhold taxes (for 2022)? Right now, my employer withholds both PA and CA taxes from my paycheck, but I'm wondering if I should ask them to withhold from just one state.

Thank you for your help.