MaryK4
Expert Alumni

State tax filing

The general rule for state income taxes is- A nonresident pays tax on any state source income (i.e. wages, business income from that state, rental property in that state).  A resident pays tax on all income regardless of where it was sourced.  To prevent the double-tax at the state level, the resident state will give a credit for any taxes paid to a nonresident state on the same income.  

 

Since you did not actually work in Maryland, it would not be Maryland source income.  There are a handful of states that currently tax nonresidents on the income for remote employees on the theory that even though you did not actually work in the state, the work you did was sourced in that state- but at this time, Maryland does not.

 

@dbinbrea

 

 

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