Commuter taxes 2026

Live in North Carolina, work in Virginia

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: $4,936 a year

Living in North Carolina and working in Virginia, you'd pay about $4,936 in state income tax on $100,000 of wages, $1,455 more than if you worked in North Carolina.

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.

Tax to Virginia
$4,936
nonresident
Tax to North Carolina
$0
resident, after credit
Total state tax
$4,936
State returns to file
2

State tax at different salaries

WagesTo VATo NCTotalIf you worked in NC
$50,000$2,061$0$2,061$1,486
$75,000$3,498$0$3,498$2,484
$100,000$4,936$0$4,936$3,481
$150,000$7,811$0$7,811$5,476
$250,000$13,561$0$13,561$9,466

Single filer, all wages earned in Virginia, 2026 state tax rules, standard deductions. Local income taxes not included.

What to do

Special credit rules

Frequently asked questions

Do I pay Virginia income tax if I live in North Carolina?

Yes. Virginia taxes wages earned there by nonresidents. On $100,000 that's about $4,936.

Do I have to file taxes in both North Carolina and Virginia?

Usually yes: a nonresident return in Virginia and a resident return in North Carolina, where you claim a credit for the tax paid to Virginia. File the Virginia return first.

Will I be taxed twice?

Not on the same state-level wages. North Carolina credits the tax you pay Virginia, so your total is about $4,936 on $100,000, compared with $3,481 if you also worked in North Carolina. Local city or county taxes may still apply.

Related

Rules reviewed 2026-09-24 from state revenue departments and the Tax Foundation. Estimates only; confirm with each state's revenue department.