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State Earnings Tax Exemption Defined State-by-State + Chart

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Most of us would agree with the next assertion: Worker wages are taxed federally and on the state degree. However this isn’t at all times the case. Some staff can state revenue tax exemption.

Everyone knows that taxes may be sophisticated. This information will cowl all the pieces you must learn about claiming tax exemptions on state revenue tax withholding (plus, there’s an easy-to-read chart!). 

Understanding tax-exempt standing

Some staff can declare tax exemption from federal and state revenue taxes. If an worker claims tax-exempt standing from federal revenue tax, don’t withhold any federal revenue taxes from their wages. Likewise, don’t withhold state revenue taxes from an worker’s wages in the event that they declare tax-exempt from state revenue taxes. 

There are a number of causes an worker might qualify for tax-exempt standing. A few of these tax exemptions embrace conditions when the worker:

  • Had no tax legal responsibility for the earlier and present yr
  • Is a navy partner or navy servicemember
  • Is Native American
  • Lives and works in numerous states with a reciprocal settlement 

An worker who qualifies for each federal and state revenue tax exemption should fill out the federal W-4 kind and the suitable state revenue tax exemption kind. 

Staff should present their title, Social Safety quantity, handle, and why they qualify for state tax exemption on the suitable kinds.

Do not forget that claiming tax-exempt isn’t the identical as claiming tax exemptions or allowances. Some states let staff declare exemptions or allowances to decrease their state revenue tax withholding. Claiming tax-exempt from state revenue tax withholding signifies that the worker received’t pay revenue tax in a selected state so long as they qualify for the exemption.

Federal tax exemption

Earlier than we go over state revenue tax exemptions by state, let’s cowl federal tax exemption. Staff eligible for federal revenue tax exemption can achieve this on the federal Type W-4. 

An worker might qualify for federal tax exemption in the event that they:

  • Have had no tax legal responsibility for the earlier yr
  • Anticipate to don’t have any tax legal responsibility for the present yr

Federal tax exemption is simply legitimate through the calendar yr it’s given to the worker. To proceed exempt standing for the following yr, an worker should offer you a brand new Type W-4 by February 15. If February 15 falls on a Saturday, Sunday, or authorized vacation, staff should present the brand new Type W-4 on the following enterprise day. 

State revenue tax exemption by state

To supply tax-exempt standing to staff, a state should first have state revenue tax withholding. Most states do. However, 9 states don’t have any state revenue tax. Needless to say staff in states with out state revenue tax withholding can nonetheless apply for tax-exempt standing on the federal degree. For these states with state revenue tax, staff have state-specific processes they need to full to assert tax-exempt standing. 

Cautious! The totally different necessities and steps for submitting a declare can get sophisticated shortly. 

Use our state-by-state information to study: 

  • Who qualifies for tax-exempt standing
  • The correct state tax exemption kind(s)
  • Your tasks as an employer

Do not forget that, relying in your state and the rationale for tax exemption, you could want to gather extra paperwork (e.g., spousal ID playing cards and Depart and Earnings Statements) from staff.

After an worker completes the state revenue tax exemption kind, they need to submit it to you with the correct documentation and associated supplies. Retain a duplicate of this doc in your worker’s personnel data. 

To keep up their tax-exempt standing, staff should submit new kinds every year. 

Alabama

One sort of worker in Alabama might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Alabama staff can declare tax-exempt standing if they’re nonresident navy spouses.

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Alabama revenue tax should use the next kind:

  • Type A4-MS, Worker’s Withholding Exemption Certificates. Staff should full the suitable strains on this type to assert tax-exempt standing as nonresident navy spouses.

Alaska

Alaska doesn’t have a state revenue tax. 

Arizona

Three varieties of staff in Arizona might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Arizona revenue tax withheld from their wages:

  1. Native People
  2. Nonresident navy spouses
  3. Nonresidents who stay in a state with a reciprocal settlement

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Arizona revenue tax should use the next kind:

  • Type WEC, Worker Withholding Exemption Certificates. Staff can use this type to assert any of the state tax exemptions. Staff should examine the suitable packing containers designating why they need to be exempt from revenue tax withholding.

Arkansas 

Three varieties of staff in Arkansas might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Arkansas revenue tax withheld from their wages:

  1. Staff with a qualifying gross revenue for his or her submitting standing
  2. Army servicemembers
  3. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff that need to declare exempt from Arkansas revenue tax should use one of many following kinds:

  • Type AR4ECSP, Worker’s Particular Withholding Exemption Certificates. Staff who need to declare tax-exempt standing based mostly on their revenue degree can use this type. 
  • Type AR4MEC, Army Worker’s Withholding Exemption Certificates. Energetic U.S. navy servicemembers can declare tax-exempt for Arkansas revenue tax withholding by submitting this type. 
  • Type ARW-4MS, Annual Withholding Tax Exemption Certificates For Army Partner. Army spouses who need to declare tax-exempt standing can use this type.

California

Three two varieties of staff in California might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any California revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from California revenue tax should use the next kind:

  • Type DE-4, Worker’s Withholding Allowance Certificates. Staff can use this type to assert both tax-exempt standing talked about above. Staff should examine the suitable packing containers designating why they need to be exempt from revenue tax withholding.

Colorado

One sort of worker in Colorado might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Colorado staff can declare tax-exempt standing if they’re nonresident navy spouses. 

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Colorado revenue tax should use the next kind:

  • Type DR1059, Affidavit of Exemption for the Nonresident Partner of a U.S. Servicemember. Army spouses that need to declare tax-exempt standing on their Colorado revenue tax can use this type.

Connecticut

One sort of worker in Connecticut might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Connecticut staff can declare tax-exempt standing if they’re nonresident navy spouses.

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Connecticut revenue tax should use the next kind:

  • Type CT-W4, Worker’s Withholding Certificates. Army spouses who need to declare tax-exempt standing on their Connecticut revenue tax can use this type. Staff should examine the suitable packing containers designating why they need to be exempt from revenue tax withholding.

Delaware

One sort of worker in Delaware might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Delaware staff can declare tax-exempt standing if they’re the partner of a U.S. servicemember. 

What kinds do you must accumulate from staff?

Staff that need to declare exempt from Delaware revenue tax should use the next kind:

  • Type W-4DE, Annual Withholding Tax Exemption Certification for Army Partner. Army spouses who need to declare tax-exempt standing on their Delaware revenue tax can use this type. To start out or terminate their exemption, staff should examine the suitable field. 

Florida

Florida doesn’t have a state revenue tax. 

Georgia

Two varieties of staff in Georgia might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Georgia revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Georgia revenue tax should use the next kind:

  • Type G-4, State of Georgia Worker’s Withholding Allowance Certificates. Staff who need to declare both of the above tax exemptions should use this type. Staff can skip strains 3 by means of 7 and examine the suitable field on line 8. 

Hawaii

One sort of worker in Hawaii might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Hawaii staff can declare tax-exempt standing if they’re nonresident staff.

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Hawaii revenue tax should use the next kind:

  • Type HW-6, Worker’s Assertion to Employer Regarding Nonresidence within the State of Hawaii. Nonresident staff can use this type to assert exempt from Hawaii revenue tax. Staff qualify as nonresident staff in the event that they work in Hawaii for lower than 60 days and are paid from an workplace exterior Hawaii. To say exempt standing, staff should reply 28 “Sure or No” questions and handwrite solutions when relevant.

Bear in mind there may be an exception to this rule. You can’t withhold revenue tax on nonresident staff’ wages in the event that they work on a development undertaking in Hawaii for a contractor. 

Idaho

Three varieties of staff in Idaho might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Idaho revenue tax withheld from their wages:

  1. Staff with a qualifying gross revenue for his or her submitting standing
  2. Nonresident aliens
  3. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Idaho revenue tax should use the next kinds:

  • Type ID W-4, Worker’s Withholding Allowance Certificates. If staff need to declare an exemption due to their gross revenue or as a result of they’re nonresident aliens, they need to file this type. To say both exemption, staff should write “Exempt” on line 1. 
  • Type 8233, Exemption From Withholding on Compensation for Unbiased (and Sure Dependent) Private Companies of a Nonresident Alien Particular person. Nonresident aliens with revenue that’s exempt due to a treaty should full Type 8233 along with Type ID W-4. 
  • Type ID-MS1, Worker’s Idaho Army Partner Withholding Exemption Certificates. Staff should use this type and ID W-4 in the event that they need to declare tax-exempt standing as a result of they’re married to a U.S. navy servicemember. 

Illinois 

Three varieties of staff in Illinois might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Illinois revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  2. Nonresident staff
  3. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Illinois revenue tax should use one of many following kinds:

  • Type IL-W-4, Worker’s and different Payee’s Illinois Withholding Allowance Certificates. Staff who need to declare tax-exempt standing due to their tax legal responsibility can use this type. To say this exemption, staff should examine the suitable exempt standing field and skip strains 1 by means of 3. 
  • Type W-5-NR, Worker’s Assertion of Nonresidence in Illinois. Nonresident staff who work in Illinois can use this type to assert exempt standing as nonresident navy spouses or nonresident staff that stay in Iowa, Kentucky, Michigan, or Wisconsin. Type W-5-NR is damaged up into two components. Staff present the knowledge partly one. You present the knowledge partly two. To say this exemption, staff should mark the field that corresponds to their resident state. 

Indiana

One sort of worker in Indiana might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Indiana staff can declare tax-exempt standing if they’re nonresident staff.

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Indiana revenue tax should use the next kind:

  • Type WH-4MIL, Annual Nonresident Army Partner. Nonresident navy spouses can use this type to assert tax-exempt standing. Staff should examine the suitable field to start out and terminate their exemption. 

Iowa

Two varieties of staff in Iowa might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Iowa revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Iowa revenue tax should use the next kind:

  • Type IA-W-4, Worker Withholding Allowance Certificates. Staff should use this type to assert both tax-exempt standing. 

Kansas

Two varieties of staff in Kansas might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Kansas revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff that need to declare exempt from Kansas revenue tax should use the next kind:

  • Type Okay-4, Kansas Worker’s Withholding Allowance Certificates. To say both tax-exempt standing talked about above, staff should use this type. 

Kentucky

4 varieties of staff in Kentucky might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Kentucky revenue tax withheld from their wages:

  1. Staff with a qualifying gross revenue for his or her submitting standing
  2. Nonresident navy spouses
  3. Nonresidents who stay in a state with a reciprocal settlement
  4. U.S. navy servicemembers

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Kentucky revenue tax should use the next kind:

  • Type Okay-4, Kentucky’s Withholding Certificates. Staff who want to declare any tax-exempt standing in Kentucky should use this type. Staff should examine the suitable field designating why they need to be exempt from revenue tax withholding. 

Louisiana

Two varieties of staff in Louisiana might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Louisiana revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Louisiana revenue tax should use the next kind:

  • Type R-1307, State of Louisiana Exemption from Withholding Louisiana Earnings Tax. To say both tax-exempt standing talked about above, staff should use this type. Staff should examine the suitable field designating why they need to be exempt from revenue tax withholding. 

Maine

Two varieties of staff in Maine might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Maine revenue tax withheld from their wages:

  1. Staff with a qualifying gross revenue for his or her submitting standing
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Maine revenue tax should use the next kind:

  • Type W-4ME, Worker’s Withholding Allowance Certificates. To say both tax-exempt standing talked about above, staff should use this type. Staff should examine the suitable field designating why they need to be exempt from revenue tax withholding. 

Maryland

Three varieties of staff in Maryland might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Maryland revenue tax withheld from their wages:

  1. Staff who had no Maryland revenue tax legal responsibility final yr and anticipate to have non within the present yr
  2. Nonresident navy spouses
  3. Nonresidents who stay in a state with a reciprocal settlement

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Maryland revenue tax should use one of many following kinds:

  • Type MW507, Worker’s Maryland Withholding Exemption Certificates. To say any tax-exempt standing in Maryland, staff should use this type. Nonresident navy spouses should full this type and Type MW507M.
  • Type MW507M, Exemption from Maryland Withholding Tax for Certified Civilian Partner of a U.S. Armed Forces Servicemember. Nonresident navy spouses should additionally file this type to assert tax-exempt standing. 

Massachusetts

One sort of worker in Massachusetts might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Massachusetts staff can declare tax-exempt standing if they’re nonresident navy spouses.

What kinds do you must accumulate from staff?

Staff that need to declare exempt from Massachusetts revenue tax should use the next kind:

  • Type M-4-MS, Annual Withholding Tax Exemption Certificates for Nonresident Army Partner. Staff who wish to declare tax-exempt standing as nonresident navy spouses should use this type. 

Michigan

5 varieties of staff in Michigan might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Michigan revenue tax withheld from their wages:

  1. Staff with a everlasting dwelling in a Renaissance Zone
  2. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  3. Native People
  4. Nonresident navy spouses
  5. Nonresidents who stay in a state with a reciprocal settlement

What kinds do you must accumulate from staff?

Staff that need to declare exempt from Michigan revenue tax should use the next kind:

  • Type MI-W4, Worker’s Michigan Withholding Exemption Certificates. Staff should use this type to assert tax-exempt standing for any purpose by checking the suitable field. 

Minnesota

5 varieties of staff in Minnesota might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Minnesota revenue tax withheld from their wages:

  1. Staff receiving a navy pension or different navy retirement pay
  2. Staff with no revenue tax legal responsibility final yr and none anticipated within the present yr
  3. Member of the Minnesota Nationwide Guard or energetic obligation U.S. navy member
  4. Native People
  5. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff that need to declare exempt from Minnesota revenue tax should use the next kind:

  • Type W-4MN, Minnesota Withholding Allowance/Exemption Certificates. Staff should use this type to assert tax-exempt standing for any purpose by checking the suitable field. 
  • Earnings Tax Truth Sheet 5, Army Personnel. Staff who’re members of the Minnesota Nationwide Guard or U.S. navy can use this tax sheet for extra info.

Mississippi

One sort of worker in Mississippi might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Mississippi staff can declare tax-exempt standing if they’re nonresident navy spouses.

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Mississippi revenue tax as a nonresident navy partner should submit the next kinds:

  • Type 89-350, Mississippi Worker’s Withholding Exemption Certificates. Nonresident navy spouses should use this type to assert tax-exempt standing. 
  • Type DD-2058, State of Authorized Residence Certificates. Staff should submit this federal kind and a duplicate of their Army Partner ID card to Type 89-350 so you possibly can validate their exemption declare. 
  • Type 80-205, Non-Resident Particular person Earnings Tax Return. Staff should additionally file this joint tax return.

Missouri

Three varieties of staff in Missouri might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Missouri revenue tax withheld from their wages:

  1. Energetic obligation navy members
  2. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  3. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Missouri revenue tax should use the next kind:

  •  Type MO W-4, Worker’s Withholding Certificates. To say tax-exempt standing, staff should use this type. Staff should examine the suitable packing containers designating why they need to be exempt from revenue tax withholding. 

Montana

4 varieties of staff in Montana might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Montana revenue tax withheld from their wages:

  1. Members of the Reserve or Nationwide Guard
  2. Native People
  3. Nonresident navy spouses
  4. Residents of North Dakota

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Montana revenue tax should use one of many following kinds:

  • Type MW-4, Montana Worker’s Withholding Allowance and Exemption Certificates. Staff should use this type to o declare tax-exempt standing for any purpose by finishing the suitable strains.

Nebraska

One sort of worker in Nebraska might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Nebraska staff can declare tax-exempt standing if they’d no tax legal responsibility final yr and anticipate none for the present yr. 

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Nebraska revenue tax should use the next kind:

  • Type W-4N, Nebraska Withholding Allowance Certificates. Staff should use this type to assert exemption.

New Hampshire

New Hampshire doesn’t have a state revenue tax. 

New Jersey

One sort of worker in New Jersey might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

New Jersey staff can declare tax-exempt standing if they’d no tax legal responsibility final yr and anticipate none for the present yr.

What kinds do you must accumulate from staff?

Staff who need to declare exempt from New Jersey revenue tax should use the next kind:

  •  Type NJ-W4, Worker’s Withholding Allowance Certificates. Staff should use this type to assert tax-exempt standing due to their tax legal responsibility.

New Mexico

Three varieties of staff in New Mexico might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any New Mexico revenue tax withheld from their wages:

  1. Native People
  2. Nonresident navy spouses
  3. Qualifying navy servicemembers (e.g., nonresident navy servicemember or public well being service)

What kinds do you must accumulate from staff?

Staff who need to declare exempt from New Mexico revenue tax should use the next kinds:

  • PIT-1, Private Earnings Tax Return. Staff should file this type if they’re a resident of New Mexico, earn wages from New Mexico sources, and are required to file a federal revenue tax return.
  • PIT-ADJ, New Mexico Schedule of Additions, Deductions, and Exemptions. To say tax-exempt standing, staff should use this type. Staff should full the suitable strains designating why they need to be exempt from revenue tax withholding.
  • PIT-B, Schedule of New Mexico Allocation and Apportionment of Earnings. Staff who want to declare exemption as nonresident navy spouses should full this type and allocate revenue from companies carried out in New Mexico to their state of residence. 
  • RPD-41348, Army Partner Withholding Tax Exemption Assertion. Staff who want to declare exemption as nonresident navy spouses should submit this type to you yearly. 

New York

Two varieties of staff in New York might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any New York revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr (together with college students beneath the age of 25)
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from New York revenue tax should use the next kind:

  • Type IT-2104-E, Certificates of Exemption From Withholding. Staff should examine the suitable packing containers on this type to assert tax exemption for any qualifying purpose.

North Carolina

Two varieties of staff in North Carolina might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any North Carolina revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr 
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from North Carolina revenue tax should use the next kind:

  • Type NC-4EZ, Worker’s Withholding Allowance Certificates. Staff should full the suitable strains on this type to assert tax exemption for both qualifying purpose.
  • Type D-401, North Carolina Particular person Earnings Tax Directions. Use this type for extra info.

North Dakota

Three varieties of staff in North Dakota might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any North Dakota revenue tax withheld from their wages:

  1. Native People
  2. Nonresident staff that stay in Minnesota or Montana
  3. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from North Dakota revenue tax should use one of many following kinds:

  • Type NDW-R, Reciprocity Exemption From Withholding For Qualifying Minnesota and Montana Residents Working in North Dakota. Staff should use this type to assert tax-exempt standing as nonresident staff dwelling in Minnesota or Montana. It’s essential to confirm that the worker’s ID is right and make a duplicate of this type in your data. Mail the unique copy of this type to: 

Workplace of State Tax Commissioner 
600 E Boulevard Ave. Dept. 127
Bismarck, ND
58505-0599

  • Type ND-1, Particular person Earnings Tax Return. Enrolled members of a North Dakota Indian tribe that stay and work on their tribal lands can declare tax exempt utilizing this type. To say this exemption, staff should enter the revenue earned on their tribal lands on line 8. Any wages earned off of the tribal lands is not going to qualify for this exemption.
  • Type NDW-M, Exemption From Withholding for a Qualifying Partner of a U.S. Armed Forces Servicemember. Staff should use this type to assert tax-exempt standing as nonresident navy spouses. 

Ohio

4 varieties of staff in Ohio might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Ohio revenue tax withheld from their wages:

  1. Nonresident navy servicemembers
  2. Nonresident navy partner
  3. Nonresidents who stay in a state with a reciprocal settlement
  4. Ohio navy servicemembers stationed exterior Ohio

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Ohio revenue tax should use the next kind:

  • Type IT 4, Worker’s Withholding Exemption Certificates. Staff should use this type to assert tax exemption from state tax for any qualifying purpose.Staff should full the suitable sections and supply their faculty district of residence and faculty district quantity. 

Oklahoma

Two varieties of staff in Oklahoma might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Oklahoma revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility for the earlier and present yr
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Oklahoma revenue tax should use the next kinds:

  • Type OK-W-4, Worker’s State Withholding Allowance Certificates. Staff should full the suitable strains on this type designating why they need to be exempt from revenue tax withholding.
  • Type OW-9-MSE, Annual Withholding Tax Exemption Certification for Army Spouses. Nonresident navy spouses who need to declare tax-exempt standing additionally want to finish this type. Staff should present you their present Army ID. You don’t have to simply accept the ID if it was issued 4 or extra years in the past.

Oregon

Twelve (sure, 12!) varieties of staff in Oregon might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Oregon revenue tax withheld from their wages:

  1. Air provider staff
  2. American Indians (e.g., an enrolled tribal member dwelling and dealing in Indian Nation in Oregon)
  3. Amtrak Act employees
  4. Informal laborers
  5. Home service employees
  6. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  7. Hydroelectric dam employees at Bonneville, John Day, McNary, or the Dalles dams
  8. Ministers
  9. Nonresident staff
  10. Nonresident navy members and their spouses
  11. Actual property salespersons
  12. Waterway employees

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Oregon revenue tax should use the next kind:

  • Type OR-W-4, Oregon Worker’s Withholding Assertion and Exemption Certificates. Staff should enter the suitable code on this type designating why they need to be exempt from revenue tax withholding.

Pennsylvania

Three varieties of staff in Pennsylvania might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Pennsylvania revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  2. Nonresident navy spouses
  3. Nonresidents who stay in a state with a reciprocal settlement

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Pennsylvania revenue tax should use the next kind:

  • Type REV-419, Worker’s Nonwithholding Software Certificates. Staff should examine the suitable field designating why they need to be exempt from revenue tax withholding on this type.

Rhode Island

Two varieties of staff in Rhode Island might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Rhode Island revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Rhode Island revenue tax should use the next kind:

  •  Type RI W-4, Worker’s Withholding Allowance Certificates. Staff should full the suitable strains on this type designating why they need to be exempt from revenue tax withholding.

South Carolina

Two varieties of staff in Rhode Island might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Rhode Island revenue tax withheld from their wages:

  1. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Rhode Island revenue tax should use the next kind:

  • Type SC W-4, South Carolina Worker’s Withholding Allowance Certificates. Staff should full the suitable strains on this type designating why they need to be exempt from revenue tax withholding.

South Dakota

South Dakota doesn’t have a state revenue tax withholding. 

Tennessee

Tennessee doesn’t have a state revenue tax withholding. 

Texas

Texas doesn’t have a state revenue tax withholding. 

Utah

Two varieties of staff in Utah might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Utah revenue tax withheld from their wages:

  1. Interstate transportation staff
  2. Nonresident navy spouses

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Utah revenue tax should use the next kind:

  • Federal Type W-4. To say tax-exempt standing, staff should full this type and write the rationale for his or her exemption beneath field 4c.

Cautious! Just remember to don’t report wages from interstate transportation staff as Utah wages in field 16 of Type W-2. However, regardless that wages for nonresident navy spouses are tax exempt, you should report them on Type W-2 field 4c.

Vermont

One sort of worker in Vermont might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Vermont employers can declare tax-exempt standing if they’d no tax legal responsibility final yr and anticipate to have none for the present yr.

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Vermont revenue tax should use the next kind:

  • Type W-4VT, Worker’s withholding allowance Certificates. Staff should enter “Exempt” on the suitable line to assert exempt standing.

Virginia

4 varieties of staff in Virginia might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Virginia revenue tax withheld from their wages:

  1. Commuting staff
  2. Staff with no tax legal responsibility final yr and none anticipated within the present yr
  3. Nonresident navy spouses
  4. Nonresidents who stay in a state with a reciprocal settlement

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Vermont revenue tax should use the next kinds:

  • Type VA-4, Private Exemption Worksheet. To say tax-exempt standing, staff should use this type. Staff should examine the suitable packing containers designating why they need to be exempt from revenue tax withholding.
  • Type 763S, Virginia Particular Nonresident Declare For Particular person Earnings Tax Withheld. Staff can use this type to assert exempt standing as nonresident staff in the event that they stay in Maryland, Pennsylvania, or West Virginia. Staff can use this type to assert exempt standing as a commuter in the event that they commute day by day to Virginia from Kentucky or the District of Columbia.
  • Type DD-2058, State of Authorized Residence Certificates. Staff who need to declare tax-exempt standing as nonresident navy spouses additionally must submit this type. 

Washington

Washington doesn’t have a state revenue tax.

Washington D.C. 

One sort of worker in Washington D.C. might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Nonresident staff working in Washington D.C. can declare tax-exempt standing.

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Washington D.C. revenue tax should use the next kind:

  • Type D-4A, Certificates of Nonresidents within the District of Columbia. To qualify as a nonresident working in D.C., staff should have a everlasting residence exterior of D.C. throughout the entire tax yr and may solely reside in D.C. through the tax yr for lower than 183 days. 

West Virginia

Two varieties of staff in West Virginia might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any West Virginia revenue tax withheld from their wages:

  1. Nonresident navy spouses
  2. Nonresidents who stay in a state with a reciprocal settlement

What kinds do you must accumulate from staff?

Staff who need to declare exempt from West Virginia revenue tax should use the next kind:

  • Type WV IT-104, Worker’s Withholding Exemption Certificates. Staff should full the second web page of this type and provides it to you. 

Wisconsin

One sort of worker in Wisconsin might qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

The next teams can select to don’t have any Wisconsin revenue tax withheld from their wages:

  1. Nonresident navy spouses
  2. Nonresidents who stay in a state with a reciprocal settlement

What kinds do you must accumulate from staff?

Staff who need to declare exempt from Wisconsin revenue tax should use the next kind:

  • Type WT-4, Worker’s Wisconsin Withholding Exemption Certificates/New Rent Reporting. Staff should full the suitable strains designating why they need to be exempt from revenue tax withholding.

Wyoming

Wyoming doesn’t have a state revenue tax.

Chart

State Which Staff Can Declare Tax Exemption? Kinds to Gather from Staff Claiming Tax Exemption
Alabama Staff with no revenue tax legal responsibility within the earlier yr and anticipate to have none within the present yr Type A4, Worker’s Withholding Exemption Certificates
Alabama Nonresident navy spouses  Type A4-MS Nonresident Army Partner Withholding Tax Exemption Certificates
Alaska N/A (no state revenue tax) N/A (no state revenue tax)
Arizona Native People

Nonresidents who stay in a state with a reciprocal settlement

Nonresident navy spouses

Type WEC, Worker Withholding Exemption Certificates
Arkansas Staff with a qualifying gross revenue for his or her submitting standing

Army servicemembers

Nonresident navy spouses

Type AR4ECSP, Worker’s Particular Withholding Exemption Certificates
California Staff with no revenue tax legal responsibility within the earlier yr and anticipate to have none within the present yr

Nonresident navy spouses

Type DE-4, Worker’s Withholding Allowance Certificates
Colorado Nonresident navy spouses Type DR1059, Affidavit of Exemption for the Nonresident Partner of a U.S. Servicemember
Connecticut Nonresident navy spouses Type CT-W4, Worker’s Withholding Certificates
Delaware Nonresident navy spouses Type W-4DE, Annual Withholding Tax Exemption Certification for Army Partner
Florida N/A (no state revenue tax) N/A (no state revenue tax)
Georgia Staff with no revenue tax legal responsibility within the earlier yr and anticipate to have none within the present yr

Nonresident navy spouses

Type G-4, State of Georgia Worker’s Withholding Allowance Certificates
Hawaii Nonresident staff Type HW-6, Worker’s Assertion to Employer Regarding Nonresidence within the State of Hawaii 
Idaho Staff with a qualifying gross revenue for his or her submitting standing Type ID W-4, Worker’s Withholding Allowance Certificates
Idaho Nonresident aliens Type 8233, Exemption From Withholding on Compensation for Unbiased (and Sure Dependent) Private Companies of a Nonresident Alien Particular person

(Nonresident aliens should additionally file Type ID W-4)

Idaho Nonresident navy spouses Type ID-MS1, Worker’s Idaho Army Partner Withholding Exemption Certificates

(Nonresident navy spouses should additionally file Type ID W-4)

Illinois Staff with no tax legal responsibility final yr and none anticipated within the present yr Type IL-W-4, Worker’s and different Payee’s Illinois Withholding Allowance Certificates.
Illinois Nonresident staff

Nonresident navy spouses

Type W-5-NR, Worker’s Assertion of Nonresidence in Illinois
Indiana Nonresident navy spouses Type WH-4MIL, Annual Nonresident Army Partner
Iowa Staff with no tax legal responsibility final yr and none anticipated within the present yr

Nonresident navy spouses

Type IA-W-4, Worker Withholding Allowance Certificates
Kansas Staff with no tax legal responsibility final yr and none anticipated within the present yr

Nonresident navy spouses

Type Okay-4, Kansas Worker’s Withholding Allowance Certificates
Kentucky Staff with a qualifying gross revenue for his or her submitting standing

Nonresidents who stay in a state with a reciprocal settlement

Nonresident navy spouses

U.S. navy servicemembers

Type Okay-4, Kentucky’s Withholding Certificates
Louisiana Staff with no tax legal responsibility final yr and none anticipated within the present yr

Nonresident navy partner

Type R-1307, State of Louisiana Exemption from Withholding Louisiana Earnings Tax
Maine Staff with a qualifying gross revenue for his or her submitting standing

Nonresident navy spouses

Type W-4ME, Worker’s Withholding Allowance Certificates
Maryland Staff with no tax legal responsibility final yr and none anticipated within the present yr

Nonresidents who stay in a state with a reciprocal settlement

Type MW507, Worker’s Maryland Withholding Exemption Certificates
Maryland Nonresident navy spouses Type MW507M, Exemption from Maryland Withholding Tax for Certified Civilian Partner of a U.S. Armed Forces Servicemember

(Nonresident navy spouses should additionally file Type MW507)

Massachusetts Nonresident navy spouses Type M-4-MS, Annual Withholding Tax Exemption Certificates for Nonresident Army Partner
Michigan Staff with a everlasting dwelling in a Renaissance Zone

Staff with no tax legal responsibility final yr and none anticipated within the present yr

Native People

Nonresident navy spouses

Nonresidents who stay in a state with a reciprocal settlement

Type MI-W4, Worker’s Michigan Withholding Exemption Certificates
Minnesota Staff receiving a navy pension or different navy retirement pay 

Staff with no revenue tax legal responsibility final yr and none anticipated within the present yr

Members of the Minnesota Nationwide Guard or energetic obligation U.S. navy member

Native People

Nonresident navy spouses

Type W-4MN, Minnesota Withholding Allowance/Exemption Certificates. 
Mississippi Nonresident navy spouses Type 89-350, Mississippi Worker’s Withholding Exemption Certificates

Type DD-2058, State of Authorized Residence Certificates

Type 80-205, Non-Resident Particular person Earnings Tax Return

Missouri Energetic obligation navy members

Staff with no tax legal responsibility final yr and none anticipated within the present yr

Nonresident navy spouses

Type MO W-4, Worker’s Withholding Certificates
Montana Members of the Reserve or Nationwide Guard

Native People

Nonresident navy spouses

Residents of North Dakota

Type MW-4, Montana Worker’s Withholding Allowance and Exemption Certificates
Nebraska Staff with no revenue tax legal responsibility final yr and none anticipated within the present yr Type W-4N, Nebraska Withholding Allowance Certificates
New Hampshire N/A (no state revenue tax) N/A (no state revenue tax)
New Jersey Staff with no revenue tax legal responsibility final yr and none anticipated within the present yr Type NJ-W4, Worker’s Withholding Allowance Certificates
New Mexico Qualifying navy servicemembers

American Indians

PIT-1, Private Earnings Tax Return. 

PIT-ADJ, New Mexico Schedule of Additions, Deductions, and Exemptions

PIT-B, Schedule of New Mexico Allocation and Apportionment of Earnings

New Mexico Nonresident navy spouses RPD-41348, Army Partner Withholding Tax Exemption Assertion

(Nonresident navy spouses should additionally submit PIT-1, PIT-ADJ, and PIT-B)

New York Staff with no tax legal responsibility and none anticipated within the present yr (together with college students beneath the age of 25)

Nonresident navy spouses

Type IT-2104-E, Certificates of Exemption From Withholding
North Carolina Staff with no tax legal responsibility final yr and none anticipated within the present yr

Nonresident navy spouses

Type NC-4EZ, Worker’s Withholding Allowance Certificates
North Dakota Native People Type ND-1, Particular person Earnings Tax Return
North Dakota Nonresident staff that stay in Minnesota or Montana Type NDW-R, Reciprocity Exemption From Withholding For Qualifying Minnesota and Montana Residents Working in North Dakota
North Dakota Nonresident navy spouses Type NDW-M, Exemption From Withholding for a Qualifying Partner of a U.S. Armed Forces Servicemember
Ohio Nonresident navy servicemembers

Nonresident navy partner

Nonresidents who stay in a state with a reciprocal settlement

Ohio navy servicemembers stationed exterior Ohio

Type IT 4, Worker’s Withholding Exemption Certificates
Oklahoma Staff with no tax legal responsibility for the earlier or present yr Type OK-W-4, Worker’s State Withholding Allowance Certificates
Oklahoma Nonresident navy spouses Type OW-9-MSE, Annual Withholding Tax Exemption Certification for Army Spouses
Oregon Air provider staff

American Indians (e.g., an enrolled tribal member dwelling and dealing in Indian Nation in Oregon)Amtrak Act employees

Informal laborers

Home service employees

Staff with no tax legal responsibility final yr and none anticipated within the present yr

Hydroelectric dam employees at Bonneville, John Day, McNary, or the Dalles dams

Ministers

Nonresident staff

Nonresident navy members and their spouses

Actual property salespersons

Waterway employees

Type OR-W-4, Oregon Worker’s Withholding Assertion and Exemption Certificates 
Pennsylvania Staff with no tax legal responsibility final yr and none anticipated within the present

Nonresident navy spouses

Nonresidents who stay in a state with a reciprocal settlement

Type REV-419, Worker’s Nonwithholding Software Certificates.
Rhode Island Staff with no tax legal responsibility final yr and none anticipated within the present yr

Nonresident navy spouses

Type RI W-4, Worker’s Withholding Allowance Certificates
South Carolina Staff with no tax legal responsibility final yr and none anticipated within the present yr

Nonresident navy spouses

Type SC W-4, South Carolina Worker’s Withholding Allowance Certificates
South Dakota N/A (no state revenue tax) N/A (no state revenue tax)
Tennessee N/A (no state revenue tax) N/A (no state revenue tax)
Texas N/A (no state revenue tax) N/A (no state revenue tax)
Utah Interstate transportation

Nonresident navy spouses

Federal Type W-4
Vermont Staff with no tax legal responsibility final yr and none anticipated within the present yr Type W-4VT, Worker’s withholding allowance Certificates
Virginia Staff with no tax legal responsibility final yr and none anticipated within the present yr Type VA-4, Private Exemption Worksheet 
Virginia Nonresidents who stay in a state with a reciprocal settlement

Commuting staff

Type 763S, Virginia Particular Nonresident Declare For Particular person Earnings Tax Withheld

(Commuting staff and nonresident navy spouses should additionally file Type VA-4)

Virginia Nonresident navy spouses Type DD-2058, State of Authorized Residence Certificates

(Nonresident navy spouses should additionally file Type VA-4 and Type 763S)

Washington N/A (no state revenue tax) N/A (no state revenue tax)
Washington D.C.  Nonresident staff Type D-4A, Certificates of Nonresidents within the District of Columbia
West Virginia Nonresident navy partner

Nonresidents who stay in a state with a reciprocal settlement

Type WV IT-104, Worker’s Withholding Exemption Certificates
Wisconsin Nonresident navy spouses

Nonresidents who stay in a state with a reciprocal settlement

Type WT-4, Worker’s Wisconsin Withholding Exemption Certificates/New Rent Reporting.
Wyoming N/A (no state revenue tax) N/A (no state revenue tax)

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This isn’t supposed as authorized recommendation; for extra info, please click on right here.



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