AmyC
Expert Alumni

State tax filing

Yes, to some extent for estimates and completely for your tax return next year. It is a good idea to keep up with dividend dates and residence, etc.

For the estimates:

  • MA safe harbor requires you to pay 80% of this year's tax or 100% of last year's to avoid penalties. Since you are moving out of MA, you will pay them the first 2 quarters for the income earned while living there.
  • VA - the first payment is due May 1 but you do not need to pay that estimate since you will not be a resident. You will start with June 15th payment to cover VA income or you could wait until Sep 15 to cover the whole time in VA to that point. Then file the last quarter on time.

 

Caution: : Since you will be a Virginia resident working in DC, you are protected by reciprocity.  

Make sure to file Form D-4A with your DC employer so they withhold VA taxes instead of DC taxes. DC will not tax your salary; only Virginia will.

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