State Revenue 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 stage. 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 every part you should 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 could 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 several states with a reciprocal settlement 

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

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

Do not forget that claiming tax-exempt shouldn’t be 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 implies that the worker gained’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 could qualify for federal tax exemption in the event that they:

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

Federal tax exemption is barely legitimate throughout the calendar yr it’s given to the worker. To proceed exempt standing for the subsequent 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 subsequent 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 stage. For these states with state revenue tax, staff have state-specific processes they have to full to assert tax-exempt standing. 

Cautious! The completely different necessities and steps for submitting a declare can get sophisticated rapidly. 

Use our state-by-state information to be taught: 

  • Who qualifies for tax-exempt standing
  • The right state tax exemption type(s)
  • Your duties as an employer

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

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

To take care of their tax-exempt standing, staff should submit new types every year. 

Alabama

One kind of worker in Alabama could 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 types do you should acquire from staff?

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

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

Alaska

Alaska doesn’t have a state revenue tax. 

Arizona

Three forms of staff in Arizona could 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 dwell in a state with a reciprocal settlement

What types do you should acquire from staff?

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

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

Arkansas 

Three forms of staff in Arkansas could 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. Navy servicemembers
  3. Nonresident navy spouses

What types do you should acquire from staff?

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

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

California

Three two forms of staff in California could 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 types do you should acquire from staff?

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

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

Colorado

One kind of worker in Colorado could 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 types do you should acquire from staff?

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

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

Connecticut

One kind of worker in Connecticut could 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 types do you should acquire from staff?

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

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

Delaware

One kind of worker in Delaware could 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 types do you should acquire from staff?

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

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

Florida

Florida doesn’t have a state revenue tax. 

Georgia

Two forms of staff in Georgia could 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 types do you should acquire from staff?

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

  • 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 way. Staff can skip strains 3 by means of 7 and test the suitable field on line 8. 

Hawaii

One kind of worker in Hawaii could 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 types do you should acquire from staff?

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

  • Type HW-6, Worker’s Assertion to Employer Regarding Nonresidence within the State of Hawaii. Nonresident staff can use this way 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 outdoors Hawaii. To assert exempt standing, staff should reply 28 “Sure or No” questions and handwrite solutions when relevant.

Consider there’s 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 forms of staff in Idaho could 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 types do you should acquire from staff?

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

  • 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 have to file this way. To assert both exemption, staff should write “Exempt” on line 1. 
  • Type 8233, Exemption From Withholding on Compensation for Unbiased (and Sure Dependent) Private Providers 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 Navy 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. navy servicemember. 

Illinois 

Three forms of staff in Illinois could 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 types do you should acquire from staff?

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

  • 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 way. To assert this exemption, staff should test 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 way to assert exempt standing as nonresident navy spouses or nonresident staff that dwell in Iowa, Kentucky, Michigan, or Wisconsin. Type W-5-NR is damaged up into two elements. Staff present the knowledge partially one. You present the knowledge partially two. To assert this exemption, staff should mark the field that corresponds to their resident state. 

Indiana

One kind of worker in Indiana could 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 types do you should acquire from staff?

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

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

Iowa

Two forms of staff in Iowa could 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 types do you should acquire from staff?

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

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

Kansas

Two forms of staff in Kansas could 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 types do you should acquire from staff?

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

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

Kentucky

4 forms of staff in Kentucky could 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 dwell in a state with a reciprocal settlement
  4. U.S. navy servicemembers

What types do you should acquire from staff?

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

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

Louisiana

Two forms of staff in Louisiana could 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 types do you should acquire from staff?

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

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

Maine

Two forms of staff in Maine could 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 types do you should acquire from staff?

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

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

Maryland

Three forms of staff in Maryland could 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 count on to have non within the present yr
  2. Nonresident navy spouses
  3. Nonresidents who dwell in a state with a reciprocal settlement

What types do you should acquire from staff?

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

  • Type MW507, Worker’s Maryland Withholding Exemption Certificates. To assert any tax-exempt standing in Maryland, staff should use this way. Nonresident navy spouses should full this way 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 way to assert tax-exempt standing. 

Massachusetts

One kind of worker in Massachusetts could 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 types do you should acquire from staff?

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

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

Michigan

5 forms of staff in Michigan could 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 residence 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 dwell in a state with a reciprocal settlement

What types do you should acquire from staff?

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

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

Minnesota

5 forms of staff in Minnesota could 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 lively obligation U.S. navy member
  4. Native People
  5. Nonresident navy spouses

What types do you should acquire from staff?

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

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

Mississippi

One kind of worker in Mississippi could 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 types do you should acquire from staff?

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

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

Missouri

Three forms of staff in Missouri could 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 types do you should acquire from staff?

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

  •  Type MO W-4, Worker’s Withholding Certificates. To assert tax-exempt standing, staff should use this way. Staff should test the suitable bins designating why they need to be exempt from revenue tax withholding. 

Montana

4 forms of staff in Montana could 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 types do you should acquire from staff?

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

  • Type 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 strains.

Nebraska

One kind of worker in Nebraska could qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Nebraska staff can declare tax-exempt standing if that they had no tax legal responsibility final yr and count on none for the present yr. 

What types do you should acquire from staff?

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

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

New Hampshire

New Hampshire doesn’t have a state revenue tax. 

New Jersey

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

Who can declare state tax exemption?

New Jersey staff can declare tax-exempt standing if that they had no tax legal responsibility final yr and count on none for the present yr.

What types do you should acquire from staff?

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

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

New Mexico

Three forms of staff in New Mexico could 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 types do you should acquire from staff?

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

  • 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 revenue tax return.
  • PIT-ADJ, New Mexico Schedule of Additions, Deductions, and Exemptions. To assert tax-exempt standing, staff should use this way. 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 Revenue. Staff who want to declare exemption as nonresident navy spouses should full this way and allocate revenue from providers carried out in New Mexico to their state of residence. 
  • RPD-41348, Navy Partner Withholding Tax Exemption Assertion. Staff who want to declare exemption as nonresident navy spouses should submit this way to you yearly. 

New York

Two forms of staff in New York could 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 types do you should acquire from staff?

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

  • Type IT-2104-E, Certificates of Exemption From Withholding. Staff should test the suitable bins on this way to assert tax exemption for any qualifying cause.

North Carolina

Two forms of staff in North Carolina could 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 types do you should acquire from staff?

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

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

North Dakota

Three forms of staff in North Dakota could 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 dwell in Minnesota or Montana
  3. Nonresident navy spouses

What types do you should acquire from staff?

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

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

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

  • Type ND-1, Particular person Revenue Tax Return. Enrolled members of a North Dakota Indian tribe that dwell and work on their tribal lands can declare tax exempt utilizing this way. To assert this exemption, staff should enter the revenue earned on their tribal lands on line 8. Any wages earned off of the tribal lands won’t 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 way to assert tax-exempt standing as nonresident navy spouses. 

Ohio

4 forms of staff in Ohio could 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 dwell in a state with a reciprocal settlement
  4. Ohio navy servicemembers stationed outdoors Ohio

What types do you should acquire from staff?

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

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

Oklahoma

Two forms of staff in Oklahoma could 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 types do you should acquire from staff?

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

  • Type OK-W-4, Worker’s State Withholding Allowance Certificates. Staff should full the suitable strains on this way designating why they need to be exempt from revenue tax withholding.
  • Type OW-9-MSE, Annual Withholding Tax Exemption Certification for Navy Spouses. Nonresident navy spouses who need to declare tax-exempt standing additionally want to finish this way. Staff should present you their present Navy 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!) forms of staff in Oregon could 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 service 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 types do you should acquire from staff?

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

  • Type 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 revenue tax withholding.

Pennsylvania

Three forms of staff in Pennsylvania could 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 dwell in a state with a reciprocal settlement

What types do you should acquire from staff?

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

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

Rhode Island

Two forms of staff in Rhode Island could 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 types do you should acquire from staff?

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

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

South Carolina

Two forms of staff in Rhode Island could 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 types do you should acquire from staff?

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

  • Type SC W-4, South Carolina Worker’s Withholding Allowance Certificates. Staff should full the suitable strains on this way 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 forms of staff in Utah could 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 types do you should acquire from staff?

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

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

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

Vermont

One kind of worker in Vermont could qualify for tax-exempt standing within the state. 

Who can declare state tax exemption?

Vermont employers can declare tax-exempt standing if that they had no tax legal responsibility final yr and count on to have none for the present yr.

What types do you should acquire from staff?

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

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

Virginia

4 forms of staff in Virginia could 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 dwell in a state with a reciprocal settlement

What types do you should acquire from staff?

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

  • Type VA-4, Private Exemption Worksheet. To assert tax-exempt standing, staff should use this way. Staff should test the suitable bins designating why they need to be exempt from revenue tax withholding.
  • Type 763S, Virginia Particular Nonresident Declare For Particular person Revenue Tax Withheld. Staff can use this way to assert exempt standing as nonresident staff in the event that they dwell in Maryland, Pennsylvania, or West Virginia. Staff can use this way 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 have to submit this way. 

Washington

Washington doesn’t have a state revenue tax.

Washington D.C. 

One kind of worker in Washington D.C. could 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 types do you should acquire from staff?

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

  • Type 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 all the tax yr and may solely reside in D.C. throughout the tax yr for lower than 183 days. 

West Virginia

Two forms of staff in West Virginia could 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 dwell in a state with a reciprocal settlement

What types do you should acquire from staff?

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

  • Type 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 could 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 dwell in a state with a reciprocal settlement

What types do you should acquire from staff?

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

  • 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 Acquire from Staff Claiming Tax Exemption
Alabama Staff with no revenue tax legal responsibility within the earlier yr and count on to have none within the present yr Type A4, Worker’s Withholding Exemption Certificates
Alabama Nonresident navy spouses  Type A4-MS Nonresident Navy Partner Withholding Tax Exemption Certificates
Alaska N/A (no state revenue tax) N/A (no state revenue tax)
Arizona Native People

Nonresidents who dwell 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

Navy 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 count on 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 Navy 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 count on 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 Providers 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 Navy 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 Navy 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 Ok-4, Kansas Worker’s Withholding Allowance Certificates
Kentucky Staff with a qualifying gross revenue for his or her submitting standing

Nonresidents who dwell in a state with a reciprocal settlement

Nonresident navy spouses

U.S. navy servicemembers

Type Ok-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 Revenue 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 dwell 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 Navy Partner
Michigan Staff with a everlasting residence 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 dwell 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 lively 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 Revenue 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 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 navy spouses RPD-41348, Navy 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 Revenue Tax Return
North Dakota Nonresident staff that dwell 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 dwell in a state with a reciprocal settlement

Ohio navy servicemembers stationed outdoors 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 Navy 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 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 dwell 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 dwell in a state with a reciprocal settlement

Commuting staff

Type 763S, Virginia Particular Nonresident Declare For Particular person Revenue 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 dwell in a state with a reciprocal settlement

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

Nonresidents who dwell 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)

Whew! Withholding the right quantity of revenue tax can really feel like a full-time job. If you need your payroll taxes to be simpler than ever, Patriot Software program has you lined. Patriot’s Full Service payroll has an worker portal so staff can simply observe vital tax paperwork. And, Patriot will even file and remit native, state, and federal taxes. Get your free trial right this moment!

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



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