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When filing my Virginia state return, TurboTax took me to a secondary page for "Other Required Information", where there is an empty box asking me for my "requested refund amount".
What does that question mean?
For context, I am a DC resident who commutes to Virginia for work, and I don't expect to owe any Virginia taxes due to Virginia's reciprocity rules with Washington DC.
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If you are a DC resident and had DC taxes withheld from your paycheck, you do not have to file a Virginia nonresident return.
For more information,see What is a state reciprocal agreement?
What if you live in Maryland and commute to Virginia? What would go in that box? First time seeing this as well.
A reciprocal agreement, also called reciprocity, is an agreement between two states that allows residents of one state to request exemption from tax withholding in the other (reciprocal) state. This can save you the trouble of having to file multiple state returns.
For example, let's say you live in Maryland and work in Virginia–two states with a reciprocal agreement. You can ask your employer to stop withholding Virginia taxes. If your employer stops withholding Virginia taxes, you would only have to file a Maryland return.
If your employer has withheld taxes for the work state instead of the resident state, you'll have to file for a refund from your work state. You'll still file your resident return that also includes that income and pay tax on it.
TurboTax handles reciprocal states and will generate the correct state(s) based on your personal information and your W-2.
A state reciprocal agreement can allow you to withhold only for your home state. You must have a form on file with your employer.
Hi, -
Quick follow-up question here. When I get to the end of my taxes, it flags for me that "It looks like you haven't finished your state taxes" and asks me to start them before completing my return. If my wife was a teacher in Virginia, but on her W2 in box 15 the state says DC, I want to confirm we do not need to file Virginia State Taxes. It's a difference of paying $50 so every little bit helps! Last year the Intuit Expert was unclear about this and we ended up paying $50 to file, even though the "requested amount" was $0.
Thanks.
If you and your wife are DC residents and your wife works in VA, you do not have to file a VA return. The only reason to file a VA return would be to get back any VA taxes withheld in error (it doesn't sound like this is the case).
On my taxes it says “If you earned Virginia income other than salary or wages, select None of the above. If salary or wages were your only Virginia income, check the box that applies to find out if you qualify for a tax break” which i did so i selected for hat applied to me which was “I lived in maryland all year”. Then it asks me “my requested refund amount”. What should I put there. Can I add what I wish to receive or what would I put there?
If you lived in Maryland all year and had only wage income in Virginia, and your Virginia employer withheld Virginia taxes from your pay, then that withholding is the amount you would request to be refunded.
See this article from the state of Maryland regarding their reciprocity agreement with Virginia.
Maryland residents who commute every day to work in Washington, D.C., Pennsylvania, Virginia, or West Virginia and have taxes withheld for that jurisdiction should file the appropriate form with that locality to obtain a refund.
See here for a list of all states with reciprocal agreements and this article for further explanation.
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