Government Employee in DC living in VA

Gov Emp · ‎February 5, 2020

I'm a bit confused. If I work for the federal government in DC but live in Virginia, it appears I have to pay federal taxes, DC taxes, and VA taxes? Can that be correct??

MarilynG1 · ‎February 5, 2020

If DC tax was withheld on your W-2, then, yes, you are correct.

You file a Virginia Resident Return and report all your income there.

Virginia will give you credit for taxes paid to DC.

You file a DC Non-Resident return, as you earned income there (and paid taxes).

The best situation is to have your employer only withhold Virginia taxes on your earnings; then you wouldn't need to file a DC Non-Resident Return.

Click the link for more info on filing multiple states.

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

View solution in original post

MarilynG1 · ‎February 5, 2020

If DC tax was withheld on your W-2, then, yes, you are correct.

You file a Virginia Resident Return and report all your income there.

Virginia will give you credit for taxes paid to DC.

You file a DC Non-Resident return, as you earned income there (and paid taxes).

The best situation is to have your employer only withhold Virginia taxes on your earnings; then you wouldn't need to file a DC Non-Resident Return.

Click the link for more info on filing multiple states.

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

Expert does your taxes

Do it yourself

Resources

Support

Government Employee in DC living in VA