The reciprocal agreement is only on EARNED income, such as wages.
According to the State of Indiana:
"Five states have a reciprocal agreement with the state of Indiana. They are Kentucky, Michigan, Ohio, Pennsylvania, and Wisconsin. All salaries, wages, tips, and commissions earned in these states by an Indiana resident must be reported as if they were earned in Indiana."
Indiana Link
According to the state of Wisconsin:
"Reciprocity applies only to income earned as an employee. Income earned as an employee generally includes salaries, wages, commissions, and fees. Reciprocity does not apply to other types of income"
"Wisconsin currently has reciprocity agreements with four states: Illinois, Indiana, Kentucky, and Michigan. These agreements provide that residents of these states working in Wisconsin will be taxed on income earned as an employee by their home state and not by Wisconsin."
Wisconsin Link
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