What is a state tax reciprocity agreement?

A bilateral agreement between two states that allows cross-border commuters to pay income tax only to their state of residence. If your residence state and work state have reciprocity, you can file an exemption form with your employer to stop the work state from withholding income tax.

How do I use the reciprocity lookup tool?

Select your state of residence (where you live) and your employer state (where your employer is registered). The tool instantly tells you whether reciprocity applies, which state exemption form to file, and what the practical effect is on your withholding.

What if my states do not have reciprocity?

If no reciprocity agreement exists, your employer will typically withhold income tax for the work state (if it has income tax). You will need to file a non-resident return in the work state and claim a credit on your resident state return. Use our multi-state tax withholding calculator to estimate the impact.

Is reciprocity automatic?

No. Even if your two states have a reciprocity agreement, you must affirmatively file the state-specific exemption form with your employer. Until you file, the employer defaults to withholding the work state's income tax.

30 active agreements · 16 states + DC

Reciprocity Lookup Tool

Enter your residence state and your employer's state. We'll tell you instantly whether reciprocity applies, which exemption form to file, and exactly what it means for your paycheck.

Enter your two states

The lookup updates instantly as you change selections.

Your state of residence Where you live

Employer state Where your employer is registered

All 30 reciprocity agreements

The complete list of state reciprocity agreements currently in effect. Each row shows the state, its reciprocity partners, and the exemption form number.

State	Reciprocity partners	Exemption form
IL — Illinois	IN IA KY MI WI	IL-W-5-NR
IN — Indiana	IL KY MI OH PA WI	WH-47
IA — Iowa	IL	IA 220
KY — Kentucky	IL IN MI OH VA WV WI TN	42A809
MI — Michigan	IL IN KY MN OH WI	MI-W4
MN — Minnesota	MI ND	MWR
MD — Maryland	VA WV DC PA	MW507
VA — Virginia	KY MD WV DC	VA-4
WV — West Virginia	KY MD OH VA PA	WV/IT-104 R
DC — District of Columbia	MD VA	D-4A
OH — Ohio	IN KY MI PA WV	IT 4-R
PA — Pennsylvania	IN KY MD NJ OH VA WV	REV-419
NJ — New Jersey	PA	NJ-165
ND — North Dakota	MN MT	NDW-R
MT — Montana	ND	MT-IC
WI — Wisconsin	IL IN KY MI	WI-220
TN — Tennessee	KY	—

How reciprocity actually works

Without reciprocity

Your employer withholds income tax for the work state. At year-end, you file a non-resident return in the work state and a resident return in your home state, claiming a credit for taxes paid to the work state. You may be locked into a refund cycle and lose cash flow.

With reciprocity

You file a state-specific exemption form (e.g., MW507, VA-4, IT 4-R) with your employer. The employer stops withholding the work state's income tax. Only your residence state withholds. No refund cycle, no credit paperwork, no cash flow loss.

Important: Reciprocity only applies to wages. If you have non-wage income (interest, dividends, rental, business) sourced to the work state, you may still owe tax there. Reciprocity also does not cover local taxes like NYC, Philadelphia wage tax, MD county tax, OH school district tax, or IN county tax.

Learn more about reciprocity

Reciprocity