Live in Maryland, work in Washington, DC
A full-year Maryland resident who remains a DC nonresident pays Maryland state and resident-county tax on these wages. DC's nonresident exclusion removes DC individual income tax; this is not a general reciprocity agreement.
Choose your next step
Payroll starting point: DC nonresident payroll guidance (opens in new tab). Ask payroll or DC OTR for the currently accepted nonresident certificate: the official D-4A listing is under review. Also arrange Maryland withholding using MW507 and check the county on your pay statement.
Official tax guidance for both states
Check withholding, filing requirements and current forms with each state's tax agency.
- Maryland: Comptroller of Maryland - Information for Business Taxpayers (opens in new tab)
- Washington, DC: Office of Tax and Revenue (opens in new tab)
Agency directory checked 2026-10-01 against the IRS state-government directory. This verifies the agency links, not an individual tax result. Use forms for the year you are filing.
Before you use this estimate
This model assumes a full-year resident of Maryland, ordinary employee wages and all workdays physically in Washington, DC. Check exemption eligibility before treating a work-state amount of $0 as your own result. Withholding is a prepayment, not final tax liability. Other income, a move during the year, remote work and separate local taxes or credits can change the result.
DC nonresident wage rule: DC excludes nonresident employee wages from its individual income tax; this is not a bilateral wage-reciprocity agreement and is not limited to residents of Maryland or Virginia. Confirm that you are not a DC resident under its residency tests. The official withholding page currently marks Form D-4A, the certificate of nonresidence, under review; ask payroll or OTR which current certificate to use. Erroneous DC withholding follows the applicable D-40B refund instructions, not a home-state credit for a valid DC wage tax.
- Official tax guidance: cfo.dc.gov (opens in new tab)
- Official tax guidance: otr.cfo.dc.gov (opens in new tab)
- Maryland MW507 withholding exemptions (opens in new tab)
- Official tax guidance: services.marylandcomptroller.gov (opens in new tab)
This pair's wage-exemption or credit guidance checked 2026-11-01. Individual return calculations and other source dates are separate.
State income tax: $7,283 a year
Modeled annual state income tax for living in Maryland and working in Washington, DC: about $7,283 on $100,000 of wages.
Washington, DC does not tax the wages of people who live outside DC, so you pay only your home state.
Maryland low-income limits: this schedule estimate does not apply Maryland's minimum-filing relief or poverty-level credit. A low-income worker may owe less or no Maryland tax. Check the official filing requirements (opens in new tab) and Form MW507 exemption instructions (opens in new tab) for your circumstances and filing year.
Conditions for this pair: DC excludes nonresident employee wages from its individual income tax; this is not a bilateral wage-reciprocity agreement and is not limited to residents of Maryland or Virginia. Confirm that you are not a DC resident under its residency tests. The official withholding page currently marks Form D-4A, the certificate of nonresidence, under review; ask payroll or OTR which current certificate to use. Erroneous DC withholding follows the applicable D-40B refund instructions, not a home-state credit for a valid DC wage tax.
Official guidance (cfo.dc.gov) (opens in new tab) · Official guidance (otr.cfo.dc.gov) (opens in new tab)
Tax guide and official sources: live in Maryland, work in Washington, DC
Official agency starting points: Maryland tax agency (opens in new tab) · Washington, DC tax agency (opens in new tab). These directory links identify the selected states' agencies, not your filing obligations. Check their individual-tax guidance and forms for the year you are filing.
This is the usual filing pattern, not a determination that you must file. Filing thresholds, age or dependent status, other income and withholding refunds can change which returns you need.
How this $100,000 estimate adds up
These steps follow the selected home, work state, salary and filing status. They reconcile the model's annual liability, not the amounts withheld from your paycheck.
| Step | Washington, DC work state | Maryland home state |
|---|---|---|
| Tax before the modeled other-state credit | $0 | $7,283 |
| Modeled other-state credit subtracted | $0 | $0 |
| Tax after that credit | $0 | $7,283 |
Total: $0 + $7,283 = $7,283 a year. Amounts are rounded for display. Work-state wage exemptions, when applicable, are already reflected in the first row; they are not an other-state credit.
No other-state credit is subtracted in this selected scenario. Included county components stay in these amounts; excluded local taxes and credits stay excluded. Federal income tax, payroll programs and refund eligibility are outside this reconciliation.
State tax at different salaries
| Wages | To DC | To MD | Modeled total | If you worked in MD |
|---|---|---|---|---|
| $50,000 | $0 | $3,358 | $3,358 | $3,358 |
| $75,000 | $0 | $5,321 | $5,321 | $5,321 |
| $100,000 | $0 | $7,283 | $7,283 | $7,283 |
| $150,000 | $0 | $11,563 | $11,563 | $11,563 |
| $250,000 | $0 | $20,222 | $20,222 | $20,222 |
Single filer, all wages earned in Washington, DC, 2026 state tax rules, standard deductions. State income tax includes Maryland's average county income tax. Other local income taxes are not included.
From paycheck withholding to your returns
- Withholding: Tell DC payroll that you are a Maryland resident and ask how to document DC nonresidence. The official D-4A listing is marked under review; obtain the currently accepted certificate from payroll or OTR rather than treating an older PDF as a current edition. Arrange Maryland state and county withholding with MW507. If withholding will be insufficient, check Maryland's estimated-payment requirements and Form PV.
- Returns: File Maryland Form 502 when the applicable filing requirements are met, including DC wages and the resident-county calculation. A qualifying DC nonresident does not file a DC resident D-40 merely because the employer is in DC. If DC income tax was withheld, request a refund using D-40B for the year concerned. The published 2025 D-40B requires W-2/1099 evidence of DC withholding and a copy of the resident-state return for the commuter/domiciliary category; prepare the Maryland return for that attachment. Use the annual forms for the year being filed, not a 2025 form for 2026 wages.
- Credit or refund: The modeled DC wage liability is zero because of the DC nonresident exclusion. Recover erroneous DC withholding from DC; do not treat a refundable withholding payment as Maryland tax-credit relief. Maryland state and county tax still apply to the resident wages.
Worked example: $100,000 of wages
Single filer, full-year resident of Maryland, all work performed in Washington, DC, no other income, standard deductions and modeled personal exemptions. Washington, DC does not tax these employee wages in this scenario. Pay a modeled $7,283 to Maryland and $0 to Washington, DC, total $7,283. No other-state income-tax credit is subtracted.
Annual liability, not paycheck withholding or a refund estimate. Federal tax, payroll programs, other local taxes, special credits and part-year residency are excluded. State income tax includes Maryland's average county income tax. Other local income taxes are not included.
Remote-work and local exceptions
Full-year Maryland residence, ordinary W-2 wages, all workdays physically in DC, and no DC domicile or place of abode maintained for 183 days or more. Moving into DC or maintaining a qualifying DC abode can change the residence result. The calculator does not allocate hybrid workdays or a part-year move.
Montgomery County home, DC workplace
For a full-year Montgomery County resident, a DC office does not replace the Maryland resident-county calculation with DC tax. Use the actual Maryland home address and the county applicable on the last day of the tax year, following the Form 502 instructions. Keep the MW507, pay statements and W-2s; if claiming a DC refund, retain the filed Maryland return as well. The calculator's county illustration is not a lookup of your address or the county's applicable rate schedule.
Official forms and instructions
- DC current withholding forms: D-4A is marked under review (opens in new tab)
- DC D-40B nonresident refund and attachments (2025 edition) (opens in new tab)
- DC individual forms by filing year, including D-40B (opens in new tab)
- Maryland MW507 withholding certificate (2026) (opens in new tab)
- Maryland resident Form 502, filing requirements, county instructions and Form PV (2025 booklet) (opens in new tab)
- Maryland official resident filing and locality guidance (opens in new tab)
Source audit 2026-11-01. Use the return and instructions for the year you are filing; a current-forms link may still show a prior-year return. Official sources checked; not independently reviewed.
Check your payslip and keep these records
- Compare the payroll certificate you supplied with the state withholding on your next payslip. Check city, county and school-district entries separately; a state exemption does not settle local tax.
- Keep your W-2 and other withholding statements, copies of payroll certificates, filed state and local returns, and proof of tax paid. A refund depends on actual withholding and the completed return, not this annual estimate.
- Keep an actual work-location log, including home-working days. This calculator assumes ordinary employee wages, full-year residence in Maryland and every workday physically in Washington, DC.
- If you moved during the year, have nonwage income or do not meet that scope, follow the pair's remote and local exceptions and the moving-year tax guide before using the amount as your own result. This tool does not calculate hybrid allocation, local credits or a personal refund.
What to do
- Keep a record of the days you work in each state, especially if you sometimes work from home.
Local income taxes
- Maryland: All 23 counties and Baltimore City levy resident local income tax (about 2.25%–3.3%, on the state return). Nonreciprocal nonresidents generally pay the 2.25% special nonresident tax instead of resident county tax; some home jurisdictions require Form 515. Pennsylvania reciprocal wages are exempt from Maryland state tax, but Maryland local tax may still apply. MW507 line 5 covers the Pennsylvania state exemption; lines 6 and 7 cover separate local exemptions. Form 515 may be required, depending on the Pennsylvania home jurisdiction and Maryland work county. Reciprocity is not a blanket local-tax exemption.
Frequently asked questions
Do I pay Washington, DC income tax if I live in Maryland?
No. Washington, DC does not tax the wages of people who live outside DC, so you pay only your home state.
Do I have to file taxes in both Maryland and Washington, DC?
File Maryland Form 502 when the applicable filing requirements are met, including DC wages and the resident-county calculation. A qualifying DC nonresident does not file a DC resident D-40 merely because the employer is in DC. If DC income tax was withheld, request a refund using D-40B for the year concerned. The published 2025 D-40B requires W-2/1099 evidence of DC withholding and a copy of the resident-state return for the commuter/domiciliary category; prepare the Maryland return for that attachment. Use the annual forms for the year being filed, not a 2025 form for 2026 wages.
Will I be taxed twice?
No. Washington, DC doesn't tax these wages at the state level; the modeled Maryland tax is about $7,283 on $100,000. Local taxes need a separate check.
Related
- Live in Washington, DC, work in Maryland
- Moving from Maryland to Washington, DC
- Moving from Washington, DC to Maryland
- Live in Maryland, work in Delaware
- Live in Maryland, work in Pennsylvania
- Live in Maryland, work in Virginia
- Live in Maryland, work in West Virginia
Rules reviewed 2026-09-24 from state revenue departments and the Tax Foundation. Estimates only; confirm with each state's revenue department.