Happy break tonight, we checked our tax stuff and tax info from the MD state comptroller’s office and confirmed that our DC jobs paid taxes as if they were in MD. I thought the H&R Block included them in the MD calculations, but I wasn’t sure that was right. It is.
Apparently MD has a reciprocal agreement with several neighboring states, except DE, to help commuters avoid having to do nonresident forms.
Washington, D.C., Pennsylvania, Virginia and West Virginia
If you live in Maryland and work in Washington, D.C., Pennsylvania, Virginia or West Virginia you should file your state income tax return with Maryland.
So we still had to file in DE. It wasn’t too bad, but it came out with me owing $7. Since I’d only paid $8 state tax in my paychecks, I’m not surprised. The thing is, while I lived in DE I was in position to earn maybe $8,000 in a year (I was also a college student, so that didn’t matter as much). Then I got a much higher-paid one after marrying and moving and the withholding changed a bit.
We’ve put together the tax forms with the check and even addressed the envelope. In the morning, we’ll print out a copy of the Federal signature form (since I didn’t have the PIN to sign the e-file return), fill out that information, and mail them both.
Then we’ll be done done done done and just have to wait on the Federal and MD refunds. Fed refund = $1308. MD Refund = $92. DE taxes = -$7. Net = $1393. And that’s not including the stimulus. It’s nice to get our money back. This will go towards the car and a little for the Roth. Joy!!
I sincerely hope that this was the most stressful tax season ever. Because that will mean it’s all good from here.
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{ 6 comments }
Great news! Thanks for sharing. I like your plan for the refund – car and Roth IRA sound good. 🙂
Hi Mrs M – congrats on getting the refund – you deserve it. Preparing taxes can be so stressful.
Who ray! Doesn’t it feel great when the taxes are done. As much as we all don’t like to loan Uncle Sam the money for free every year, it is kind of nice to get a refund,isn’t it? We got way to much back this year. We spent it wisely though. We built up our emergency fund and had an awesome dinner out.
Now you know the annual anxiety and relief of tax time. I always worry that some factor will leave me owing a bunch but then when it nearly balances out and there is a little to come back it is such freedom. Glad your number came out so well.
That was good to share the info about reciprocity agreements between states. Both my wife and I work in VA but live in MD, and it’s been so long since I’ve looked into why I’m not paying VA taxes too that I’ve forgotten! Thanks for the refresher!
Always a relief when taxes are done! Congrats on the completion of yours and the nice refund! 🙂
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