Which states have reciprocal agreements?
For the most part, state reciprocal agreements are an East Coast/Midwest phenomena.
If you work in the District of Columbia, Illinois, Indiana, Iowa, Kentucky, Maryland, Michigan, Minnesota, Montana, New Jersey, North Dakota, Ohio, Pennsylvania, Virginia, West Virginia, or Wisconsin, and you're a resident in one of their reciprocal states, fill out and submit the corresponding exemption form to your employer to be considered for exemption. With this exemption, no withholding is taken out of your paycheck for the state you work in.
Important! Also ask your employer to withhold taxes for your resident state instead of your working state. If they can't or won't do it, you'll have to make quarterly estimated payments to your resident state or risk underpayment penalties come tax time.
|If you're a resident of...||and you work in...||Submit this exemption form to your employer|
|Anywhere other than District of Columbia||District of Columbia||D-4A|
|Iowa, Kentucky, Michigan, or Wisconsin||Illinois||IL-W-5-NR|
|Kentucky, Michigan, Ohio, Pennsylvania, or Wisconsin||Indiana||WH-47|
|Illinois, Indiana, Michigan, Ohio, Virginia, West Virginia, or Wisconsin||Kentucky||42A809|
|District of Columbia, Pennsylvania, Virginia, or West Virginia||Maryland||MW 507|
|Illinois, Indiana, Kentucky, Minnesota, Ohio, or Wisconsin||Michigan||MI-W4|
|Michigan or North Dakota||Minnesota||MWR|
|Minnesota or Montana||North Dakota||NDW-R|
|Indiana, Kentucky, Michigan, Pennsylvania, or West Virginia||Ohio||IT-4NR|
|Indiana, Maryland, New Jersey, Ohio, Virginia, or West Virginia||Pennsylvania||REV-419|
|District of Columbia, Kentucky, Maryland, Pennsylvania, or West Virginia||Virginia||VA-4|
|Kentucky, Maryland, Ohio, Pennsylvania, or Virginia||West Virginia||WV/IT-104 R|
|Illinois, Indiana, Kentucky, or Michigan||Wisconsin||W-220|