Virginia into Maryland

Live in Virginia, work in Maryland (2026)

Whether the two states have a reciprocity agreement, which form stops the withholding, and what your paycheck actually looks like after both states and any local tax have taken their share.

Is there a reciprocity agreement?

Yes. Maryland and Virginia have a reciprocity agreement, so Maryland takes $0 from a Virginia resident. File MD Form MW507 with your Maryland employer. Crucially, Maryland's county income tax does not reach you either, so your total local tax is $0.

For a Virginia resident, a Maryland job is one of the better tax outcomes available anywhere in the Washington region. Maryland and Virginia have a reciprocity agreement, so Maryland does not tax your wages. File Form MD Form MW507 with your Maryland employer and withholding stops before it starts, leaving Maryland's share at $0. Virginia taxes you at $4,989 on $100,000, and you take home $74,191. The quiet win is the county tax. Every Maryland resident pays one, and at this salary it runs to thousands of dollars a year. You pay none of it. The county tax is collected through the Maryland resident return, and reciprocity means you do not file one, so there is nothing for it to attach to. Your local income tax comes to $0, which is what a Virginia resident pays anywhere in the state, because Virginia does not levy a local income tax at all in any of its cities or counties.

At $100,000 single filer, against working at home in Virginia

This commute changes nothing about your take-home. You keep $74,191 either way.

Computed from the tax engine with 2026federal brackets, FICA, both states' income tax, and any local tax at either end. Standard deduction, no pre-tax contributions.

Who taxes you, and how much?

Single filer at $100,000, 2026 rules.

Tax	Amount
Maryland income tax (work state)	$0
Virginia income tax (resident state)	$4,989
Combined state income tax	$4,989

How the Virginia and Maryland rule works

Two rules stack in your favour here. First, the reciprocity agreement removes Maryland's claim on your wages, which is what Form MD Form MW507 certifies to your employer. Second, Maryland's local income tax is not a standalone levy that a commuter can be caught by. It is computed on the Maryland resident return, at the rate set by the taxpayer's home county, and a Virginia resident does not file that return. Remove the state tax and the county tax goes with it. Virginia then taxes you as a resident on all income wherever earned, and adds nothing local of its own. The comparison with a Maryland-resident colleague is stark: same salary, same Maryland employer, and they carry a county income tax bill that you do not. That gap is the strongest argument the Virginia side of the river has, and it is worth pricing before any move that would reverse it.

What this estimate covers

These figures apply 2026 federal brackets after the standard deduction, FICA, Virginia's income tax, Maryland's income tax where the agreement does not remove it, and the local tax at each end of the commute. State-administered payroll programs such as disability and paid family leave follow the work state, so where Maryland runs them they come out of your check on Maryland's schedule rather than Virginia's. They assume every workday is spent in Maryland and all of your wages are earned there.

One limit is worth naming. A split week, with some days worked from home, is not modelled: the credit, the local tax and the work-state payroll programs would each be apportioned across the two states, and this estimate treats the whole year as Maryland work.

Living in Virginia and working in Maryland: FAQ

Does Maryland tax Virginia residents?

No. The reciprocity agreement between the two states means Maryland's share of your wages is $0. File Form MD Form MW507 with your Maryland employer to stop the withholding at source, and Virginia taxes those wages instead, as your resident state.

Do I pay a Maryland county income tax?

No, and this is the best part of the arrangement. The county tax is computed on the Maryland resident return, and reciprocity means you never file one, so it has nothing to attach to. Your local tax is $0. A Maryland-resident colleague on the same salary pays it and you do not.

How much do I pay in total?

$4,989 of Virginia income tax at $100,000 as a single filer, plus $13,170 in federal tax and $7,650 in FICA contributions. Take-home works out at $74,191. Maryland takes nothing from you at either the state level or the county level.

Which form do I file with my employer?

Form MD Form MW507, the Maryland withholding exemption certificate, completed on the line reserved for residents of a reciprocal state. Maryland withholds by default, so file it promptly or you will spend April reclaiming the money on a nonresident return.

Do I file a Maryland return?

Not if the certificate is on file with your employer and nothing was withheld, since you have no Maryland liability to report. You file a Virginia resident return covering all of your income, including everything you earned at your Maryland job.

Does the commute cost me anything?

No. Take-home is $74,191 whether the job is in Maryland or in Virginia. If anything the Maryland job is the better deal in tax terms, since it comes with none of the county tax that a Maryland resident would carry.

This estimate is for planning purposes only and does not constitute tax or financial advice. Actual paycheck withholding depends on your employer's payroll system, custom W-4 elections, additional income, and personal tax situation. For specific tax-planning decisions, consult a licensed CPA or tax professional. Cross-state estimates additionally assume all wages are earned in the work state and exclude any apportionment of remote workdays.

How This Page Is Reviewed

The Virginia to Maryland commute rule is taken from each state's own reciprocity guidance and withholding forms, and is reviewed against those primary sources before each tax-year update. Local tax figures come from the municipal research files behind the city pages.

Reviewed by

PaycheckCalc Research Desk

Last reviewed

2026-07-14

Primary sources