Live in Virginia, work in Maryland
Reciprocity agreement: you pay income tax only to your home state. Give your employer the work state's exemption form so it withholds for your home state instead.
State income tax: $4,936 a year
Living in Virginia and working in Maryland, you'd pay about $4,936 in state income tax on $100,000 of wages.
Reciprocity agreement: you pay income tax only to your home state. Give your employer the work state's exemption form so it withholds for your home state instead.
State tax at different salaries
| Wages | To MD | To VA | Total | If you worked in VA |
|---|---|---|---|---|
| $50,000 | $0 | $2,061 | $2,061 | $2,061 |
| $75,000 | $0 | $3,498 | $3,498 | $3,498 |
| $100,000 | $0 | $4,936 | $4,936 | $4,936 |
| $150,000 | $0 | $7,811 | $7,811 | $7,811 |
| $250,000 | $0 | $13,561 | $13,561 | $13,561 |
Single filer, all wages earned in Maryland, 2026 state tax rules, standard deductions. Local income taxes not included.
What to do
- Reciprocity: VA residents who do not maintain a place of abode in MD for 183+ days are exempt from MD tax on wages; file Form MW507 with employer.
- 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 + Baltimore City levy a resident local income tax (about 2.25%-3.3%, on the state return). Nonresidents working in MD (from non-reciprocity states such as DE) pay a special nonresident tax (2.25% for 2026, equal to the lowest county rate) in place of county tax. Residents of PA, VA, WV, DC covered by reciprocity owe neither.
Special credit rules
- VA: Reverse-credit with AZ, CA, OR: residents of those states working in VA claim a credit on the VA nonresident return for tax paid to their home state (so VA, the work state, gives the credit). VA residents get no VA credit for tax paid to AZ, CA, or OR on income those states tax - they claim credit on those states' returns instead.
Frequently asked questions
Do I pay Maryland income tax if I live in Virginia?
No. Under the reciprocity agreement you pay only Virginia. VA residents who do not maintain a place of abode in MD for 183+ days are exempt from MD tax on wages; file Form MW507 with employer.
Do I have to file taxes in both Virginia and Maryland?
Usually you file only one state return (a resident return in Virginia), though some states still require a nonresident return to get a refund of any wrongly withheld tax.
Will I be taxed twice?
No. Under the reciprocity agreement only Virginia taxes your wages: about $4,936 on $100,000.
Related
- Live in Maryland, work in Virginia
- Moving from Virginia to Maryland
- Moving from Maryland to Virginia
- Live in Virginia, work in Washington, DC
- Live in Virginia, work in Kentucky
- Live in Virginia, work in North Carolina
- Live in Virginia, work in Tennessee
- Live in Virginia, 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.