Most of us would agree with the next assertion: Worker wages are taxed federally and on the state degree. However this isn’t all the time the case. Some staff can state earnings tax exemption.
Everyone knows that taxes may be difficult. This information will cowl all the things you could find out about claiming tax exemptions on state earnings tax withholding (plus, there’s an easy-to-read chart!).
Understanding tax-exempt standing
Some staff can declare tax exemption from federal and state earnings taxes. If an worker claims tax-exempt standing from federal earnings tax, don’t withhold any federal earnings taxes from their wages. Likewise, don’t withhold state earnings taxes from an worker’s wages in the event that they declare tax-exempt from state earnings taxes.
There are a number of causes an worker might qualify for tax-exempt standing. A few of these tax exemptions embody conditions when the worker:
- Had no tax legal responsibility for the earlier and present 12 months
- Is a army partner or army servicemember
- Is Native American
- Lives and works in several states with a reciprocal settlement
An worker who qualifies for each federal and state earnings tax exemption should fill out the federal W-4 kind and the suitable state earnings tax exemption kind.
Staff should present their title, Social Safety quantity, deal with, and why they qualify for state tax exemption on the suitable varieties.
Keep in mind 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 earnings tax withholding. Claiming tax-exempt from state earnings tax withholding implies that the worker gained’t pay earnings tax in a selected state so long as they qualify for the exemption.
Federal tax exemption
Earlier than we go over state earnings tax exemptions by state, let’s cowl federal tax exemption. Staff eligible for federal earnings tax exemption can achieve this on the federal Kind W-4.
An worker might qualify for federal tax exemption in the event that they:
- Have had no tax legal responsibility for the earlier 12 months
- Count on to haven’t any tax legal responsibility for the present 12 months
Federal tax exemption is barely legitimate in the course of the calendar 12 months it’s given to the worker. To proceed exempt standing for the following 12 months, an worker should provide you with a brand new Kind W-4 by February 15. If February 15 falls on a Saturday, Sunday, or authorized vacation, staff should present the brand new Kind W-4 on the following enterprise day.
State earnings tax exemption by state
To supply tax-exempt standing to staff, a state should first have state earnings tax withholding. Most states do. However, 9 states haven’t any state earnings tax. Remember the fact that staff in states with out state earnings tax withholding can nonetheless apply for tax-exempt standing on the federal degree. For these states with state earnings tax, staff have state-specific processes they need to full to say tax-exempt standing.
Cautious! The completely different necessities and steps for submitting a declare can get difficult rapidly.
Use our state-by-state information to study:
- Who qualifies for tax-exempt standing
- The correct state tax exemption kind(s)
- Your duties as an employer
Keep in mind that, relying in your state and the rationale for tax exemption, it’s possible you’ll want to gather extra paperwork (e.g., spousal ID playing cards and Depart and Earnings Statements) from staff.
After an worker completes the state earnings tax exemption kind, they need to submit it to you with the correct documentation and associated supplies. Retain a replica of this doc in your worker’s personnel information.
To take care of their tax-exempt standing, staff should submit new varieties every year.
Alabama
One kind 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 army spouses.
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Alabama earnings tax should use the next kind:
- Kind A4-MS, Worker’s Withholding Exemption Certificates. Staff should full the suitable traces on this way to say tax-exempt standing as nonresident army spouses.
Alaska
Alaska doesn’t have a state earnings tax.
Arizona
Three sorts 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 haven’t any Arizona earnings tax withheld from their wages:
- Native Individuals
- Nonresident army spouses
- Nonresidents who stay in a state with a reciprocal settlement
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Arizona earnings tax should use the next kind:
- Kind WEC, Worker Withholding Exemption Certificates. Staff can use this way to say any of the state tax exemptions. Staff should examine the suitable packing containers designating why they need to be exempt from earnings tax withholding.
Arkansas
Three sorts 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 haven’t any Arkansas earnings tax withheld from their wages:
- Staff with a qualifying gross earnings for his or her submitting standing
- Army servicemembers
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff that need to declare exempt from Arkansas earnings tax should use one of many following varieties:
- Kind AR4ECSP, Worker’s Particular Withholding Exemption Certificates. Staff who need to declare tax-exempt standing based mostly on their earnings degree can use this way.
- Kind AR4MEC, Army Worker’s Withholding Exemption Certificates. Energetic U.S. army servicemembers can declare tax-exempt for Arkansas earnings tax withholding by submitting this way.
- Kind ARW-4MS, Annual Withholding Tax Exemption Certificates For Army Partner. Army spouses who need to declare tax-exempt standing can use this way.
California
Three two sorts 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 haven’t any California earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from California earnings tax should use the next kind:
- Kind DE-4, Worker’s Withholding Allowance Certificates. Staff can use this way to say both tax-exempt standing talked about above. Staff should examine the suitable packing containers designating why they need to be exempt from earnings tax withholding.
Colorado
One kind 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 army spouses.
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Colorado earnings tax should use the next kind:
- Kind 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 earnings tax can use this way.
Connecticut
One kind 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 army spouses.
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Connecticut earnings tax should use the next kind:
- Kind CT-W4, Worker’s Withholding Certificates. Army spouses who need to declare tax-exempt standing on their Connecticut earnings tax can use this way. Staff should examine the suitable packing containers designating why they need to be exempt from earnings tax withholding.
Delaware
One kind 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 varieties do you could accumulate from staff?
Staff that need to declare exempt from Delaware earnings tax should use the next kind:
- Kind W-4DE, Annual Withholding Tax Exemption Certification for Army Partner. Army spouses who need to declare tax-exempt standing on their Delaware earnings tax can use this way. To start out or terminate their exemption, staff should examine the suitable field.
Florida
Florida doesn’t have a state earnings tax.
Georgia
Two sorts 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 haven’t any Georgia earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Georgia earnings tax should use the next kind:
- Kind G-4, State of Georgia Worker’s Withholding Allowance Certificates. Staff who need to declare both of the above tax exemptions should use this way. Staff can skip traces 3 via 7 and examine the suitable field on line 8.
Hawaii
One kind 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 varieties do you could accumulate from staff?
Staff who need to declare exempt from Hawaii earnings tax should use the next kind:
- Kind HW-6, Worker’s Assertion to Employer Regarding Nonresidence within the State of Hawaii. Nonresident staff can use this way to say exempt from Hawaii earnings 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 outdoors Hawaii. To say exempt standing, staff should reply 28 “Sure or No” questions and handwrite solutions when relevant.
Take into accout there’s an exception to this rule. You can’t withhold earnings tax on nonresident staff’ wages in the event that they work on a development challenge in Hawaii for a contractor.
Idaho
Three sorts 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 haven’t any Idaho earnings tax withheld from their wages:
- Staff with a qualifying gross earnings for his or her submitting standing
- Nonresident aliens
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Idaho earnings tax should use the next varieties:
- Kind ID W-4, Worker’s Withholding Allowance Certificates. If staff need to declare an exemption due to their gross earnings or as a result of they’re nonresident aliens, they need to file this way. To say both exemption, staff should write “Exempt” on line 1.
- Kind 8233, Exemption From Withholding on Compensation for Unbiased (and Sure Dependent) Private Providers of a Nonresident Alien Particular person. Nonresident aliens with earnings that’s exempt due to a treaty should full Kind 8233 along with Kind ID W-4.
- Kind ID-MS1, Worker’s Idaho Army Partner Withholding Exemption Certificates. Staff should use this way 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. army servicemember.
Illinois
Three sorts 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 haven’t any Illinois earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident staff
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Illinois earnings tax should use one of many following varieties:
- Kind 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 way. To say this exemption, staff should examine the suitable exempt standing field and skip traces 1 via 3.
- Kind W-5-NR, Worker’s Assertion of Nonresidence in Illinois. Nonresident staff who work in Illinois can use this way to say exempt standing as nonresident army spouses or nonresident staff that stay in Iowa, Kentucky, Michigan, or Wisconsin. Kind W-5-NR is damaged up into two elements. Staff present the data partly one. You present the data partly two. To say this exemption, staff should mark the field that corresponds to their resident state.
Indiana
One kind 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 varieties do you could accumulate from staff?
Staff who need to declare exempt from Indiana earnings tax should use the next kind:
- Kind WH-4MIL, Annual Nonresident Army Partner. Nonresident army spouses can use this way to say tax-exempt standing. Staff should examine the suitable field to begin and terminate their exemption.
Iowa
Two sorts 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 haven’t any Iowa earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Iowa earnings tax should use the next kind:
- Kind IA-W-4, Worker Withholding Allowance Certificates. Staff should use this way to say both tax-exempt standing.
Kansas
Two sorts 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 haven’t any Kansas earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff that need to declare exempt from Kansas earnings tax should use the next kind:
- Kind Okay-4, Kansas Worker’s Withholding Allowance Certificates. To say both tax-exempt standing talked about above, staff should use this way.
Kentucky
4 sorts 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 haven’t any Kentucky earnings tax withheld from their wages:
- Staff with a qualifying gross earnings for his or her submitting standing
- Nonresident army spouses
- Nonresidents who stay in a state with a reciprocal settlement
- U.S. army servicemembers
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Kentucky earnings tax should use the next kind:
- Kind Okay-4, Kentucky’s Withholding Certificates. Staff who want to declare any tax-exempt standing in Kentucky should use this way. Staff should examine the suitable field designating why they need to be exempt from earnings tax withholding.
Louisiana
Two sorts 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 haven’t any Louisiana earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Louisiana earnings tax should use the next kind:
- Kind R-1307, State of Louisiana Exemption from Withholding Louisiana Revenue Tax. To say both tax-exempt standing talked about above, staff should use this way. Staff should examine the suitable field designating why they need to be exempt from earnings tax withholding.
Maine
Two sorts 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 haven’t any Maine earnings tax withheld from their wages:
- Staff with a qualifying gross earnings for his or her submitting standing
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Maine earnings tax should use the next kind:
- Kind W-4ME, Worker’s Withholding Allowance Certificates. To say both tax-exempt standing talked about above, staff should use this way. Staff should examine the suitable field designating why they need to be exempt from earnings tax withholding.
Maryland
Three sorts 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 haven’t any Maryland earnings tax withheld from their wages:
- Staff who had no Maryland earnings tax legal responsibility final 12 months and anticipate to have non within the present 12 months
- Nonresident army spouses
- Nonresidents who stay in a state with a reciprocal settlement
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Maryland earnings tax should use one of many following varieties:
- Kind MW507, Worker’s Maryland Withholding Exemption Certificates. To say any tax-exempt standing in Maryland, staff should use this way. Nonresident army spouses should full this way and Kind MW507M.
- Kind MW507M, Exemption from Maryland Withholding Tax for Certified Civilian Partner of a U.S. Armed Forces Servicemember. Nonresident army spouses should additionally file this way to say tax-exempt standing.
Massachusetts
One kind 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 army spouses.
What varieties do you could accumulate from staff?
Staff that need to declare exempt from Massachusetts earnings tax should use the next kind:
- Kind M-4-MS, Annual Withholding Tax Exemption Certificates for Nonresident Army Partner. Staff who want to declare tax-exempt standing as nonresident army spouses should use this way.
Michigan
5 sorts 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 haven’t any Michigan earnings tax withheld from their wages:
- Staff with a everlasting residence in a Renaissance Zone
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Native Individuals
- Nonresident army spouses
- Nonresidents who stay in a state with a reciprocal settlement
What varieties do you could accumulate from staff?
Staff that need to declare exempt from Michigan earnings tax should use the next kind:
- Kind MI-W4, Worker’s Michigan Withholding Exemption Certificates. Staff should use this way to say tax-exempt standing for any cause by checking the suitable field.
Minnesota
5 sorts 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 haven’t any Minnesota earnings tax withheld from their wages:
- Staff receiving a army pension or different army retirement pay
- Staff with no earnings tax legal responsibility final 12 months and none anticipated within the present 12 months
- Member of the Minnesota Nationwide Guard or lively responsibility U.S. army member
- Native Individuals
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff that need to declare exempt from Minnesota earnings tax should use the next kind:
- Kind W-4MN, Minnesota Withholding Allowance/Exemption Certificates. Staff should use this way to say tax-exempt standing for any cause by checking the suitable field.
- Revenue Tax Reality Sheet 5, Army Personnel. Staff who’re members of the Minnesota Nationwide Guard or U.S. army can use this tax sheet for extra info.
Mississippi
One kind 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 army spouses.
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Mississippi earnings tax as a nonresident army partner should submit the next varieties:
- Kind 89-350, Mississippi Worker’s Withholding Exemption Certificates. Nonresident army spouses should use this way to say tax-exempt standing.
- Kind DD-2058, State of Authorized Residence Certificates. Staff should submit this federal kind and a replica of their Army Partner ID card to Kind 89-350 so you may validate their exemption declare.
- Kind 80-205, Non-Resident Particular person Revenue Tax Return. Staff should additionally file this joint tax return.
Missouri
Three sorts 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 haven’t any Missouri earnings tax withheld from their wages:
- Energetic responsibility army members
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Missouri earnings tax should use the next kind:
- Kind MO W-4, Worker’s Withholding Certificates. To say tax-exempt standing, staff should use this way. Staff should examine the suitable packing containers designating why they need to be exempt from earnings tax withholding.
Montana
4 sorts 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 haven’t any Montana earnings tax withheld from their wages:
- Members of the Reserve or Nationwide Guard
- Native Individuals
- Nonresident army spouses
- Residents of North Dakota
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Montana earnings tax should use one of many following varieties:
- Kind MW-4, Montana Worker’s Withholding Allowance and Exemption Certificates. Staff should use this way to o declare tax-exempt standing for any cause by finishing the suitable traces.
Nebraska
One kind 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 12 months and anticipate none for the present 12 months.
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Nebraska earnings tax should use the next kind:
- Kind W-4N, Nebraska Withholding Allowance Certificates. Staff should use this way to say exemption.
New Hampshire
New Hampshire doesn’t have a state earnings tax.
New Jersey
One kind 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 12 months and anticipate none for the present 12 months.
What varieties do you could accumulate from staff?
Staff who need to declare exempt from New Jersey earnings tax should use the next kind:
- Kind NJ-W4, Worker’s Withholding Allowance Certificates. Staff should use this way to say tax-exempt standing due to their tax legal responsibility.
New Mexico
Three sorts 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 haven’t any New Mexico earnings tax withheld from their wages:
- Native Individuals
- Nonresident army spouses
- Qualifying army servicemembers (e.g., nonresident army servicemember or public well being service)
What varieties do you could accumulate from staff?
Staff who need to declare exempt from New Mexico earnings tax should use the next varieties:
- PIT-1, Private Revenue Tax Return. Staff should file this way if they’re a resident of New Mexico, earn wages from New Mexico sources, and are required to file a federal earnings tax return.
- PIT-ADJ, New Mexico Schedule of Additions, Deductions, and Exemptions. To say tax-exempt standing, staff should use this way. Staff should full the suitable traces designating why they need to be exempt from earnings tax withholding.
- PIT-B, Schedule of New Mexico Allocation and Apportionment of Revenue. Staff who want to declare exemption as nonresident army spouses should full this way and allocate earnings 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 army spouses should submit this way to you yearly.
New York
Two sorts 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 haven’t any New York earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months (together with college students below the age of 25)
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from New York earnings tax should use the next kind:
- Kind IT-2104-E, Certificates of Exemption From Withholding. Staff should examine the suitable packing containers on this way to say tax exemption for any qualifying cause.
North Carolina
Two sorts 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 haven’t any North Carolina earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from North Carolina earnings tax should use the next kind:
- Kind NC-4EZ, Worker’s Withholding Allowance Certificates. Staff should full the suitable traces on this way to say tax exemption for both qualifying cause.
- Kind D-401, North Carolina Particular person Revenue Tax Directions. Use this way for extra info.
North Dakota
Three sorts 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 haven’t any North Dakota earnings tax withheld from their wages:
- Native Individuals
- Nonresident staff that stay in Minnesota or Montana
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from North Dakota earnings tax should use one of many following varieties:
- Kind NDW-R, Reciprocity Exemption From Withholding For Qualifying Minnesota and Montana Residents Working in North Dakota. Staff should use this way to say tax-exempt standing as nonresident staff dwelling in Minnesota or Montana. It’s essential to confirm that the worker’s ID is appropriate and make a replica of this way in your information. Mail the unique copy of this way to:
Workplace of State Tax Commissioner
600 E Boulevard Ave. Dept. 127
Bismarck, ND
58505-0599
- Kind ND-1, Particular person Revenue Tax Return. Enrolled members of a North Dakota Indian tribe that stay and work on their tribal lands can declare tax exempt utilizing this way. To say this exemption, staff should enter the earnings earned on their tribal lands on line 8. Any wages earned off of the tribal lands won’t qualify for this exemption.
- Kind NDW-M, Exemption From Withholding for a Qualifying Partner of a U.S. Armed Forces Servicemember. Staff should use this way to say tax-exempt standing as nonresident army spouses.
Ohio
4 sorts 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 haven’t any Ohio earnings tax withheld from their wages:
- Nonresident army servicemembers
- Nonresident army partner
- Nonresidents who stay in a state with a reciprocal settlement
- Ohio army servicemembers stationed outdoors Ohio
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Ohio earnings tax should use the next kind:
- Kind IT 4, Worker’s Withholding Exemption Certificates. Staff should use this way to say tax exemption from state tax for any qualifying cause.Staff should full the suitable sections and supply their college district of residence and faculty district quantity.
Oklahoma
Two sorts 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 haven’t any Oklahoma earnings tax withheld from their wages:
- Staff with no tax legal responsibility for the earlier and present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Oklahoma earnings tax should use the next varieties:
- Kind OK-W-4, Worker’s State Withholding Allowance Certificates. Staff should full the suitable traces on this way designating why they need to be exempt from earnings tax withholding.
- Kind OW-9-MSE, Annual Withholding Tax Exemption Certification for Army Spouses. Nonresident army spouses who need to declare tax-exempt standing additionally want to finish this way. Staff should present you their present Army ID. You don’t have to just accept the ID if it was issued 4 or extra years in the past.
Oregon
Twelve (sure, 12!) sorts 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 haven’t any Oregon earnings tax withheld from their wages:
- Air service 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 12 months and none anticipated within the present 12 months
- Hydroelectric dam employees at Bonneville, John Day, McNary, or the Dalles dams
- Ministers
- Nonresident staff
- Nonresident army members and their spouses
- Actual property salespersons
- Waterway employees
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Oregon earnings tax should use the next kind:
- Kind OR-W-4, Oregon Worker’s Withholding Assertion and Exemption Certificates. Staff should enter the suitable code on this way designating why they need to be exempt from earnings tax withholding.
Pennsylvania
Three sorts 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 haven’t any Pennsylvania earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
- Nonresidents who stay in a state with a reciprocal settlement
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Pennsylvania earnings tax should use the next kind:
- Kind REV-419, Worker’s Nonwithholding Software Certificates. Staff should examine the suitable field designating why they need to be exempt from earnings tax withholding on this way.
Rhode Island
Two sorts 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 haven’t any Rhode Island earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Rhode Island earnings tax should use the next kind:
- Kind RI W-4, Worker’s Withholding Allowance Certificates. Staff should full the suitable traces on this way designating why they need to be exempt from earnings tax withholding.
South Carolina
Two sorts 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 haven’t any Rhode Island earnings tax withheld from their wages:
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Rhode Island earnings tax should use the next kind:
- Kind SC W-4, South Carolina Worker’s Withholding Allowance Certificates. Staff should full the suitable traces on this way designating why they need to be exempt from earnings tax withholding.
South Dakota
South Dakota doesn’t have a state earnings tax withholding.
Tennessee
Tennessee doesn’t have a state earnings tax withholding.
Texas
Texas doesn’t have a state earnings tax withholding.
Utah
Two sorts 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 haven’t any Utah earnings tax withheld from their wages:
- Interstate transportation staff
- Nonresident army spouses
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Utah earnings tax should use the next kind:
- Federal Kind W-4. To say tax-exempt standing, staff should full this way and write the rationale for his or her exemption below field 4c.
Cautious! Just be sure you don’t report wages from interstate transportation staff as Utah wages in field 16 of Kind W-2. However, despite the fact that wages for nonresident army spouses are tax exempt, you should report them on Kind W-2 field 4c.
Vermont
One kind 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 12 months and anticipate to have none for the present 12 months.
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Vermont earnings tax should use the next kind:
- Kind W-4VT, Worker’s withholding allowance Certificates. Staff should enter “Exempt” on the suitable line to say exempt standing.
Virginia
4 sorts 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 haven’t any Virginia earnings tax withheld from their wages:
- Commuting staff
- Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
- Nonresident army spouses
- Nonresidents who stay in a state with a reciprocal settlement
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Vermont earnings tax should use the next varieties:
- Kind VA-4, Private Exemption Worksheet. To say tax-exempt standing, staff should use this way. Staff should examine the suitable packing containers designating why they need to be exempt from earnings tax withholding.
- Kind 763S, Virginia Particular Nonresident Declare For Particular person Revenue Tax Withheld. Staff can use this way to say exempt standing as nonresident staff in the event that they stay in Maryland, Pennsylvania, or West Virginia. Staff can use this way to say exempt standing as a commuter in the event that they commute day by day to Virginia from Kentucky or the District of Columbia.
- Kind DD-2058, State of Authorized Residence Certificates. Staff who need to declare tax-exempt standing as nonresident army spouses additionally have to submit this way.
Washington
Washington doesn’t have a state earnings tax.
Washington D.C.
One kind 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 varieties do you could accumulate from staff?
Staff who need to declare exempt from Washington D.C. earnings tax should use the next kind:
- Kind D-4A, Certificates of Nonresidents within the District of Columbia. To qualify as a nonresident working in D.C., staff will need to have a everlasting residence outdoors of D.C. throughout the entire tax 12 months and might solely reside in D.C. in the course of the tax 12 months for lower than 183 days.
West Virginia
Two sorts 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 haven’t any West Virginia earnings tax withheld from their wages:
- Nonresident army spouses
- Nonresidents who stay in a state with a reciprocal settlement
What varieties do you could accumulate from staff?
Staff who need to declare exempt from West Virginia earnings tax should use the next kind:
- Kind WV IT-104, Worker’s Withholding Exemption Certificates. Staff should full the second web page of this way and provides it to you.
Wisconsin
One kind 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 haven’t any Wisconsin earnings tax withheld from their wages:
- Nonresident army spouses
- Nonresidents who stay in a state with a reciprocal settlement
What varieties do you could accumulate from staff?
Staff who need to declare exempt from Wisconsin earnings tax should use the next kind:
- Kind WT-4, Worker’s Wisconsin Withholding Exemption Certificates/New Rent Reporting. Staff should full the suitable traces designating why they need to be exempt from earnings tax withholding.
Wyoming
Wyoming doesn’t have a state earnings tax.
Chart
| State | Which Staff Can Declare Tax Exemption? | Types to Acquire from Staff Claiming Tax Exemption |
|---|---|---|
| Alabama | Staff with no earnings tax legal responsibility within the earlier 12 months and anticipate to have none within the present 12 months | Kind A4, Worker’s Withholding Exemption Certificates |
| Alabama | Nonresident army spouses | Kind A4-MS Nonresident Army Partner Withholding Tax Exemption Certificates |
| Alaska | N/A (no state earnings tax) | N/A (no state earnings tax) |
| Arizona | Native Individuals
Nonresidents who stay in a state with a reciprocal settlement Nonresident army spouses |
Kind WEC, Worker Withholding Exemption Certificates |
| Arkansas | Staff with a qualifying gross earnings for his or her submitting standing
Army servicemembers Nonresident army spouses |
Kind AR4ECSP, Worker’s Particular Withholding Exemption Certificates |
| California | Staff with no earnings tax legal responsibility within the earlier 12 months and anticipate to have none within the present 12 months
Nonresident army spouses |
Kind DE-4, Worker’s Withholding Allowance Certificates |
| Colorado | Nonresident army spouses | Kind DR1059, Affidavit of Exemption for the Nonresident Partner of a U.S. Servicemember |
| Connecticut | Nonresident army spouses | Kind CT-W4, Worker’s Withholding Certificates |
| Delaware | Nonresident army spouses | Kind W-4DE, Annual Withholding Tax Exemption Certification for Army Partner |
| Florida | N/A (no state earnings tax) | N/A (no state earnings tax) |
| Georgia | Staff with no earnings tax legal responsibility within the earlier 12 months and anticipate to have none within the present 12 months
Nonresident army spouses |
Kind G-4, State of Georgia Worker’s Withholding Allowance Certificates |
| Hawaii | Nonresident staff | Kind HW-6, Worker’s Assertion to Employer Regarding Nonresidence within the State of Hawaii |
| Idaho | Staff with a qualifying gross earnings for his or her submitting standing | Kind ID W-4, Worker’s Withholding Allowance Certificates |
| Idaho | Nonresident aliens | Kind 8233, Exemption From Withholding on Compensation for Unbiased (and Sure Dependent) Private Providers of a Nonresident Alien Particular person
(Nonresident aliens should additionally file Kind ID W-4) |
| Idaho | Nonresident army spouses | Kind ID-MS1, Worker’s Idaho Army Partner Withholding Exemption Certificates
(Nonresident army spouses should additionally file Kind ID W-4) |
| Illinois | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months | Kind IL-W-4, Worker’s and different Payee’s Illinois Withholding Allowance Certificates. |
| Illinois | Nonresident staff
Nonresident army spouses |
Kind W-5-NR, Worker’s Assertion of Nonresidence in Illinois |
| Indiana | Nonresident army spouses | Kind WH-4MIL, Annual Nonresident Army Partner |
| Iowa | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
Nonresident army spouses |
Kind IA-W-4, Worker Withholding Allowance Certificates |
| Kansas | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
Nonresident army spouses |
Kind Okay-4, Kansas Worker’s Withholding Allowance Certificates |
| Kentucky | Staff with a qualifying gross earnings for his or her submitting standing
Nonresidents who stay in a state with a reciprocal settlement Nonresident army spouses U.S. army servicemembers |
Kind Okay-4, Kentucky’s Withholding Certificates |
| Louisiana | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
Nonresident army partner |
Kind R-1307, State of Louisiana Exemption from Withholding Louisiana Revenue Tax |
| Maine | Staff with a qualifying gross earnings for his or her submitting standing
Nonresident army spouses |
Kind W-4ME, Worker’s Withholding Allowance Certificates |
| Maryland | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
Nonresidents who stay in a state with a reciprocal settlement |
Kind MW507, Worker’s Maryland Withholding Exemption Certificates |
| Maryland | Nonresident army spouses | Kind MW507M, Exemption from Maryland Withholding Tax for Certified Civilian Partner of a U.S. Armed Forces Servicemember
(Nonresident army spouses should additionally file Kind MW507) |
| Massachusetts | Nonresident army spouses | Kind M-4-MS, Annual Withholding Tax Exemption Certificates for Nonresident Army Partner |
| Michigan | Staff with a everlasting residence in a Renaissance Zone
Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months Native Individuals Nonresident army spouses Nonresidents who stay in a state with a reciprocal settlement |
Kind MI-W4, Worker’s Michigan Withholding Exemption Certificates |
| Minnesota | Staff receiving a army pension or different army retirement pay
Staff with no earnings tax legal responsibility final 12 months and none anticipated within the present 12 months Members of the Minnesota Nationwide Guard or lively responsibility U.S. army member Native Individuals Nonresident army spouses |
Kind W-4MN, Minnesota Withholding Allowance/Exemption Certificates. |
| Mississippi | Nonresident army spouses | Kind 89-350, Mississippi Worker’s Withholding Exemption Certificates
Kind DD-2058, State of Authorized Residence Certificates Kind 80-205, Non-Resident Particular person Revenue Tax Return |
| Missouri | Energetic responsibility army members
Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months Nonresident army spouses |
Kind MO W-4, Worker’s Withholding Certificates |
| Montana | Members of the Reserve or Nationwide Guard
Native Individuals Nonresident army spouses Residents of North Dakota |
Kind MW-4, Montana Worker’s Withholding Allowance and Exemption Certificates |
| Nebraska | Staff with no earnings tax legal responsibility final 12 months and none anticipated within the present 12 months | Kind W-4N, Nebraska Withholding Allowance Certificates |
| New Hampshire | N/A (no state earnings tax) | N/A (no state earnings tax) |
| New Jersey | Staff with no earnings tax legal responsibility final 12 months and none anticipated within the present 12 months | Kind NJ-W4, Worker’s Withholding Allowance Certificates |
| New Mexico | Qualifying army servicemembers
American Indians |
PIT-1, Private Revenue Tax Return.
PIT-ADJ, New Mexico Schedule of Additions, Deductions, and Exemptions PIT-B, Schedule of New Mexico Allocation and Apportionment of Revenue |
| New Mexico | Nonresident army spouses | RPD-41348, Army Partner Withholding Tax Exemption Assertion
(Nonresident army 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 12 months (together with college students below the age of 25)
Nonresident army spouses |
Kind IT-2104-E, Certificates of Exemption From Withholding |
| North Carolina | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
Nonresident army spouses |
Kind NC-4EZ, Worker’s Withholding Allowance Certificates |
| North Dakota | Native Individuals | Kind ND-1, Particular person Revenue Tax Return |
| North Dakota | Nonresident staff that stay in Minnesota or Montana | Kind NDW-R, Reciprocity Exemption From Withholding For Qualifying Minnesota and Montana Residents Working in North Dakota |
| North Dakota | Nonresident army spouses | Kind NDW-M, Exemption From Withholding for a Qualifying Partner of a U.S. Armed Forces Servicemember |
| Ohio | Nonresident army servicemembers
Nonresident army partner Nonresidents who stay in a state with a reciprocal settlement Ohio army servicemembers stationed outdoors Ohio |
Kind IT 4, Worker’s Withholding Exemption Certificates |
| Oklahoma | Staff with no tax legal responsibility for the earlier or present 12 months | Kind OK-W-4, Worker’s State Withholding Allowance Certificates |
| Oklahoma | Nonresident army spouses | Kind OW-9-MSE, Annual Withholding Tax Exemption Certification for Army Spouses |
| Oregon | Air service 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 12 months and none anticipated within the present 12 months Hydroelectric dam employees at Bonneville, John Day, McNary, or the Dalles dams Ministers Nonresident staff Nonresident army members and their spouses Actual property salespersons Waterway employees |
Kind OR-W-4, Oregon Worker’s Withholding Assertion and Exemption Certificates |
| Pennsylvania | Staff with no tax legal responsibility final 12 months and none anticipated within the present
Nonresident army spouses Nonresidents who stay in a state with a reciprocal settlement |
Kind REV-419, Worker’s Nonwithholding Software Certificates. |
| Rhode Island | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
Nonresident army spouses |
Kind RI W-4, Worker’s Withholding Allowance Certificates |
| South Carolina | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months
Nonresident army spouses |
Kind SC W-4, South Carolina Worker’s Withholding Allowance Certificates |
| South Dakota | N/A (no state earnings tax) | N/A (no state earnings tax) |
| Tennessee | N/A (no state earnings tax) | N/A (no state earnings tax) |
| Texas | N/A (no state earnings tax) | N/A (no state earnings tax) |
| Utah | Interstate transportation
Nonresident army spouses |
Federal Kind W-4 |
| Vermont | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months | Kind W-4VT, Worker’s withholding allowance Certificates |
| Virginia | Staff with no tax legal responsibility final 12 months and none anticipated within the present 12 months | Kind VA-4, Private Exemption Worksheet |
| Virginia | Nonresidents who stay in a state with a reciprocal settlement
Commuting staff |
Kind 763S, Virginia Particular Nonresident Declare For Particular person Revenue Tax Withheld
(Commuting staff and nonresident army spouses should additionally file Kind VA-4) |
| Virginia | Nonresident army spouses | Kind DD-2058, State of Authorized Residence Certificates
(Nonresident army spouses should additionally file Kind VA-4 and Kind 763S) |
| Washington | N/A (no state earnings tax) | N/A (no state earnings tax) |
| Washington D.C. | Nonresident staff | Kind D-4A, Certificates of Nonresidents within the District of Columbia |
| West Virginia | Nonresident army partner
Nonresidents who stay in a state with a reciprocal settlement |
Kind WV IT-104, Worker’s Withholding Exemption Certificates |
| Wisconsin | Nonresident army spouses
Nonresidents who stay in a state with a reciprocal settlement |
Kind WT-4, Worker’s Wisconsin Withholding Exemption Certificates/New Rent Reporting. |
| Wyoming | N/A (no state earnings tax) | N/A (no state earnings tax) |
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