Live in Delaware, work in Pennsylvania
No reciprocity: you file a nonresident return in the work state and pay its tax. Your home state gives a credit for that tax, so you pay the home state only if its tax is higher.
State income tax: $5,259 a year
Living in Delaware and working in Pennsylvania, you'd pay about $5,259 in state income tax on $100,000 of wages.
No reciprocity: you file a nonresident return in the work state and pay its tax. Your home state gives a credit for that tax, so you pay the home state only if its tax is higher.
State tax at different salaries
| Wages | To PA | To DE | Total | If you worked in DE |
|---|---|---|---|---|
| $50,000 | $1,535 | $563 | $2,098 | $2,098 |
| $75,000 | $2,303 | $1,307 | $3,609 | $3,609 |
| $100,000 | $3,070 | $2,189 | $5,259 | $5,259 |
| $150,000 | $4,605 | $3,954 | $8,559 | $8,559 |
| $250,000 | $7,675 | $7,484 | $15,159 | $15,159 |
Single filer, all wages earned in Pennsylvania, 2026 state tax rules, standard deductions. Local income taxes not included.
What to do
- Ask your employer to withhold Pennsylvania tax. If Delaware's tax is higher, withhold the difference for Delaware too (or make estimated payments) to avoid an underpayment penalty.
- File the Pennsylvania nonresident return first, then claim the credit for taxes paid to another state on your Delaware resident return.
- Keep a record of the days you work in each state, especially if you sometimes work from home.
Working from home for a Pennsylvania employer
Pennsylvania has a "convenience of the employer" rule. Full rule: nonresidents working from home for convenience for a PA employer are taxed by PA. Residents of reciprocity states (IN, MD, NJ, OH, VA, WV) are not affected for wages.
Local income taxes
- Pennsylvania: Local Earned Income Tax (Act 32) in nearly every municipality/school district: withheld at the higher of the resident rate or the work-location nonresident rate (typically ~1-2%+). Philadelphia Wage Tax from July 1, 2026: 3.735% resident / 3.425% nonresident (on work performed in the city); Pittsburgh 3% resident EIT (school+city) plus $52/yr Local Services Tax at work location. Out-of-state residents are not subject to PA local EIT except Philadelphia (nonresident rate) and LST where applicable. NJ residents can credit Philadelphia wage tax against NJ tax.
- Delaware: Wilmington levies a 1.25% earned income tax on residents and on nonresidents working in the city - relevant for PA, NJ, MD commuters.
Frequently asked questions
Do I pay Pennsylvania income tax if I live in Delaware?
Yes. Pennsylvania taxes wages earned there by nonresidents. On $100,000 that's about $3,070.
Do I have to file taxes in both Delaware and Pennsylvania?
Usually yes: a nonresident return in Pennsylvania and a resident return in Delaware, where you claim a credit for the tax paid to Pennsylvania. File the Pennsylvania return first.
Will I be taxed twice?
Not on the same state-level wages. Delaware credits the tax you pay Pennsylvania, so your total is about $5,259 on $100,000, compared with $5,259 if you also worked in Delaware. Local city or county taxes may still apply.
Related
- Live in Pennsylvania, work in Delaware
- Moving from Delaware to Pennsylvania
- Moving from Pennsylvania to Delaware
- Live in Delaware, work in Maryland
- Live in Delaware, work in New Jersey
Rules reviewed 2026-09-24 from state revenue departments and the Tax Foundation. Estimates only; confirm with each state's revenue department.