Live in Pennsylvania, Work in Maine: Which State Taxes Your Paycheck?
Answer
Two returns, one credit. Maine has the first claim on wages earned inside the state and withholds accordingly. Pennsylvania then taxes you as a resident on everything and gives credit for what Maine already took, capped at what Pennsylvania would have charged on that same income.
Last verified
Without an agreement between Pennsylvania and Maine, the overlap is handled after the fact rather than prevented. That is why the filing order matters: the Maine figure is an input to the Pennsylvania return, so completing Pennsylvania first means doing it twice.
A Pennsylvania resident taxed by another state on the same income claims the credit for taxes paid to other states on Schedule G-L. The credit is capped at the Pennsylvania tax on that income, so it removes the double tax but never refunds the excess when the other state charges more.
What you file
- 1Nonresident return · MaineForm 1040ME with Schedule NR
File the Maine nonresident return FIRST — you need the Maine tax figure before you can complete Pennsylvania.
- 2Resident return · PennsylvaniaSchedule G-L
File a Pennsylvania resident return reporting all income, then claim the credit for tax paid to Maine. The credit is capped at what Pennsylvania would have charged on that same income, so if Maine taxes it at a higher rate the difference is not refunded.
The two states, side by side
| Pennsylvania | Maine | |
|---|---|---|
| Taxes wages | Yes — flat | Yes — graduated |
| Reciprocity partners | 6 (Form REV-419) | None |
| Convenience rule | Yes — general rule | No |
| Nonresident return | Form PA-40 (nonresident) | Form 1040ME with Schedule NR |
| Credit for other-state tax | Schedule G-L | Form 1040ME Schedule A |
| Nonresident safe harbour | None published | 12 days or a dollar floor |
| Local income tax | Yes | No |
| Revenue department | Pennsylvania Department of Revenue | Maine Revenue Services |
| Last verified |
The other direction
Reversing the commute does not always reverse the answer. Living in Maine and working in Pennsylvania gives:Both states — credit offsets the double tax.
Same two states, different situation
The withholding answer turns on how you are paid and where the work happens, not only on which two states are involved.
- Remote worker: Pennsylvania → MaineHome state only
- 1099 contractor: Pennsylvania → MaineHome state, plus the client state if you work there
- Moved mid-year: Pennsylvania → MaineTwo part-year returns
Other Pennsylvania pairs
Questions people actually ask
I live in Pennsylvania and work in Maine. Which state takes the tax out of my paycheck?
Two returns, one credit. Maine has the first claim on wages earned inside the state and withholds accordingly. Pennsylvania then taxes you as a resident on everything and gives credit for what Maine already took, capped at what Pennsylvania would have charged on that same income.
Which state should my employer be withholding for?
Maine. The wages are sourced to Maine, so Maine withholding is correct and there is no Pennsylvania withholding to set up.
Will I end up paying tax twice on the same income?
Not twice over, but you will pay the higher of the two rates. Pennsylvania gives residents a credit for tax paid to Maine on the same income, claimed on Schedule G-L. The credit is capped at the Pennsylvania tax on that income, so if Maine taxes it more heavily the excess is not refunded by either state.
How current is this?
The Pennsylvania and Maine rules on this page were last checked against Pennsylvania Department of Revenue and Maine Revenue Services on 2026-08-07. We re-check the full grid every December after state legislative sessions close, and re-check the convenience-of-the-employer states quarterly because that is where the rules move fastest.
Sources
Every fact above comes from the revenue department that publishes the rule. We do not cite secondary summaries, and we do not restate a figure we could not find at source.
- Pennsylvania Department of Revenue — individual income taxaccessed 2026-08-07
- Pennsylvania — Form REV-419accessed 2026-08-07
- Pennsylvania Personal Income Tax Guide — Income Subject to Tax Withholdingaccessed 2026-08-07
- Maine Revenue Services — individual income taxaccessed 2026-08-07