Is there reciprocity between MA and NH?
New Hampshire has no state income tax, so there is no need for any reciprocity arrangement with Massachusetts or any other state. These arrangements prevent double taxation by crediting state tax already paid to one state. Massachusetts taxes any income earned in the state by residents or non-residents.
What happens if you live in NH and work in Massachusetts?
If you live in Massachusetts and have dividend income, it’ll be taxable to MA instead of NH, even if you work in New Hampshire. If you’ve lived in NH all your life, you may not have known about this tax because it does not apply to everyone. Wages from work are still not taxable, just the dividends and interest.
Do you pay mass income tax if you work in NH?
There is no state income tax in New Hampshire. The move hasn’t been a popular one in New Hampshire, where about 15 percent of workers commute to Massachusetts for work.
Is NH suing Ma?
Concord, NH — Today, the State of New Hampshire filed a lawsuit in the United States Supreme Court over Massachusetts’ unconstitutional tax grab. “New Hampshire has no choice but to seek relief in our Nation’s highest court,” said Governor Chris Sununu.
How much are property taxes in New Hampshire?
New Hampshire is known as a low-tax state. But while the state has no personal income tax and no sales tax, it has the fourth-highest property tax rates of any U.S. state, with an average effective rate of 2.05%. Consequently, the median annual property tax payment here is $5,768.
What is the cheapest place to live in New Hampshire?
The Most Affordable Places To Live In New Hampshire
What happens if you work in Massachusetts and live in NH?
If you live in Massachusetts and have dividend income, it’ll be taxable to MA instead of NH, even if you work in New Hampshire. If you’ve lived in NH all your life, you may not have known about this tax because it does not apply to everyone.
Do you have to file Ma state taxes if you work in NH?
I live in NH but work in MA. Do I still file MA state taxes and possibly get a refund? Yes. You will need to file a Massachusetts nonresident return for any income you earned working in Massachusetts. You will receive a refund if the amount they withheld from your check is greater than the amount of actual tax you are responsible to pay to MA.
Is it better to live in NH or Ma?
If you and your spouse are already working in MA, moving to NH probably won’t save you much on taxes. You might even end up paying more in taxes since NH is known for generally having a high property tax! However, if one spouse (or both!) works in NH, and the other in MA, there could be considerable tax savings.
Do you get a Massachusetts tax credit if you live in NH?
If you were living in a state that also has a state income tax, that state would give you a credit on their tax return for the amount of tax liability you have in Massachusetts. But, since you live in NH, a state without its own state income tax, they will not provide you with such a credit.