topic Ma vs Nh Unemployment taxes to be paid in State tax filing

Ma vs Nh Unemployment taxes to be paid

Stefanie S — Mon, 23 Feb 2026 13:07:56 GMT

I have 1 employee: Lives in Ma and works in NH. We have been taking Ma w/h out and paying to MA SUI. I am now finding that we should have been paying SUI to NH. We are also finding that we owe back payments for MA Paid Family due to they having us paying MA SUI. How should this be handled? Am i to leave as is and pay the MA Paid Family or do wage adjustment to get refund from MA SUI?

Employee 2: 95% works remotely and lives in MA, but employer is in NH. Do we keep him in MA or move to NH SUI and MA w/h?

What are the requirements for this? I keep getting conflicting answers, so not sure what is the correct way to handle this.

Thank you.

Re: Ma vs Nh Unemployment taxes to be paid

AliciaP1 — Tue, 07 Feb 2023 16:53:59 GMT

As an employer, you are responsible for collecting and paying taxes for the state in which your remote workers live. So, in your case, you should be withholding MA income taxes as well as paying MA SUI. This means you do owe the MA Paid Family Leave as well.

Re: Ma vs Nh Unemployment taxes to be paid

Stefanie S — Tue, 07 Feb 2023 17:10:38 GMT

Hi Thank you. What about the employee who is not remote? I have both in office and remote.

Thanks for you insight.

Re: Ma vs Nh Unemployment taxes to be paid

AliciaP1 — Tue, 07 Feb 2023 17:26:57 GMT

Your work in-office but live in another state workers should have their home state taxes withheld, but office state unemployment paid. So, again in your case, an employee who works in the office in NH but lives in MA would have MA state income tax withheld and NH SUI paid. This worker would not be subject to the MA Paid Family Leave.

@Stefanie S