LenaH
Employee Tax Expert

State tax filing

It depends on the time spent in the state. For 2020, it sounds like you would only need to file a resident return for Maryland since you stated you "will be" moving to Virginia. 

 

In 2021, you will likely file a part-year return for Virginia and a part-year return for Maryland. 

 

For years thereafter, you should only have to file a Virginia return (as long as you do not withhold Maryland state tax on Maryland wages). Virginia and Maryland have a reciprocal agreement, which states that Virginia residents who have a limited presence in reciprocal states (such as Maryland) to be taxed only by Virginia. Simply owning a house in a reciprocal state does not mean you have to file a return for that state.

 

Per the State of Virginia, if you are a resident and work in Maryland, Pennsylvania, or West Virginia, you exempt from taxation in the respective state if you meet all of the three following criteria: 

  • They are present in the other state for 183 days or less during the year, and
  • Do not maintain an abode, such as a house or apartment, in their respective state and
  • Receive only wage or salary income in the other state.

Virginia Reciprocity

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"