Ohio has a reciprocal agreement, on wages, with all neighboring states. No state taxes
are withheld or due and you do not normally need to file a return for the other
state (MI, PA, KY, WV, IN). But OH will tax you on your other state income.
However the reciprocity
agreement does not apply to local city & county taxes. Your employer is required to withhold local income tax (city or county). You can not get that refunded. It is the duty of the employer to deduct report and remit all applicable Boone County taxes from employee
wages. Employees do not file individual Boone County tax returns personally, thus the employer is
responsible for collection and remittance of all three Boone County taxes, when applicable. (Reference: https://www.boonecountyky.org/docs/0906_Quarterly_Return_Instructions_2016.pdf)
But if you live in an Ohio city with a tax, they may give you a
credit or partial credit. Many do. You need to check with your city.
If you are subject to Ohio School District Income
Tax (SDIT), you can not get a credit, for KY local taxes withheld, on an SDIT
return.
