2026 tax year · cross-border wages
Crossing a state line into or out of Washington DC
Washington DC taxes its residents on income earned anywhere, and taxes non-residents on work done inside it. Which return you file depends on which direction you commute.
Washington DC borders 2 states. All of them work the same way for a commuter, so there is one rule to learn.
Where Washington DC has a reciprocity agreement
Washington DC has wage reciprocity with Maryland and Virginia. Work in one of these and it will not tax your wages at all: you file its exemption certificate with your employer there, which stops its withholding, and report everything to Washington DC. There is no nonresident return.
| Work state | Exemption certificate | Its tax on your wages |
|---|---|---|
| Maryland | MW507 | $0 |
| Virginia | VA-4 | $0 |
Reciprocity covers wages paid by an employer. It does not cover self-employment income, so a 1099 worker in Washington DC generally still sources income to where the work was done.
What Washington DC itself takes across a salary range
A single filer, taking the standard deduction. This is the figure every arrangement above is measured against, the tax Washington DC charges a resident, whether the work happened inside the state or over a line:
| Wages | Washington DC tax | Effective rate |
|---|---|---|
| $45,000 | $2,525 | 5.61% |
| $70,000 | $4,350 | 6.21% |
| $120,000 | $8,600 | 7.17% |
What Washington DC charges as your home state
Washington DC taxes income on 6 graduated brackets for 2026, from 4% up to 10.75%. Because wages stacks on top of any other income, a second source can push part of it into the next bracket.
State income tax on wages only, 2026 rates. Not tax advice, what this does and doesn't cover.