Filing Tax Return with Maryland - Remote Employee

Forum|Forum|1 year ago
July 16, 2025
1 reply
118 views

I worked from Massachusetts, %100 remotely for an employer in Maryland. Since 2022, the employer started reporting MA in box 15 of W2 form (before, they used to report MD). Does a remote employee need to file tax return with MD? Has this question been definitely answered? Most answers I see online are subjective or merely an advice. According to the email I received from MyCOMConnect, I don't have to if I worked %100 remotely. Because the MD Comptroller website says that a nonresident must file Form 505 and Form 505NR if you have income from a profession or occupation carried on in Maryland; and then it says you don't have to file if you had no income from a Maryland source. The two statements don't seem mutually exclusive to me. So However, I requested some clarification from the same person from MyCOMConnect, he responded that he basically advised me based on the information received from his supervisors and that he doesn't legally represent comptroller legally. Does anyone one knows what exactly does MD Tax Law say about whether a MA employee who worked %100 remotely for an employer located in MD should file tax return with MD?

For the years 2022, 2023, 2024, I filed tax returns with both MA and MD. Turbotax had me complete the nonresident state first (i.e. MD), yet for 2024, I had to pay tax to MD of the amount close to $1400 though my income from that state was not more than $30,000, I had an amount of $100 deducted on each paycheck, and I filed as head of household claiming one dependent. I got return from MA for almost the same amount. Could something be wrong here? Note: I have been using Turbotax for many years, no chance that I had entered something wrong.

If I had not filed with MD (assuming that's what supposed to be done) then I wouldn't hear anything about owing any tax to MD, would my MA tax return have changed? I'm just curious to understand what Turbotax does behind the scene.

Thanks!

TurboTax Deluxe Online

mmaherTE

Level 2

You do not owe taxes in MD if you are working remotely from MA and have never done any of your work in MD. Here is a link to an answered question very similar to yours:

https://ttlc.intuit.com/community/state-taxes/discussion/teleworking-for-a-different-state-from-the-one-in-which-i-reside/00/1834897

To get the taxes withheld for MD back you will have to file a nonresident MD return. Here is a link to the MD Comptroller 2024 return information: https://services.marylandcomptroller.gov/taxes/en/2024-individual-income-tax-forms?id=kb_article_view&sysparm_article=KB0010026

Scroll down to the first boxes in the nonresident info and it tells you if you are a nonresident and what to file.

2025TXRAuthor

Level 2

Thank you for your response. The first link you provided tells how much the issue is confusing. Only the last answer on that page states that if a person is not physically in MD then the income is NOT considered from source in MD; therefore, that income should not be taxed.

You suggested to look at the two first boxes to find out what to file, but as I mentioned in my original question I have always filed MD nonresident tax return as TurboTax suggested and that in Box 15 of W2 the state listed after 2022 is MA, so why TurboTax says I owe money to MD?

If the answer "that an employee from MA who worked %100 remotely for an employer in MD" should NOT file tax with MD, then how my years back can I amend my taxes to request the money either pad back?

NCperson

Level 15

@2025TXR you can go back three years from the original filing deadline to claim the refund, meaning for the 2022 tax return, you have until April 15, 2026 to file an amendment in MD. For 2023 tax year, you have until April 15, 2027, etc.