Work from home but in a different state than company

[DGR1]

We live in Rhode Island, but my husband has worked for a Massachusetts pharma company for years. Since COVID, he has worked from home.  In 2021 the company took out some RI tax as well as MA tax and continued to do so in 2022.  I read about the "convenience of employee/employer" rule, but I have no idea which (if either) this would pertain to.  The company still has an office that he could go to, but no one is present at the office as they are all WFH except for those whose positions require them to be present (research people).  It doesn't make sense for him to go in, so he works from home.  Would that be considered his convenience or the company's convenience?  Would he pay a portion of MA tax and a portion of RI tax in this case? Are we still required to fill out a Non-Resident Mass income tax?   Thanks for your reply.  

[johnd84]

Hi there and thanks for your question.

It sounds like he's doing all his work in Rhode Island. The issue is where is the money earned which is where you are when you do the work. So the money is earned in Rhode Island. I would suggest working with your payroll department to make sure you have the correct withholdings for Rhode Island and to eliminate the Massachusetts withholdings. The main reason you are filing a Massachusetts return now is to get those withholdings back since that is taxable to Rhode Island. Thanks again!