Employees Living Outside of Indiana & Working in Indiana


An employee of Indiana University who performs services solely in Indiana may not be subject to Indiana state tax withholding if the employee’s permanent residence is in one of the following states:

  • Wisconsin
  • Kentucky
  • Michigan
  • Ohio
  • Pennsylvania

The state of Indiana has established reciprocity agreements with these states and no Indiana state tax will be imposed if the appropriate Indiana Certificate of Residence form is received. If you perform services for Indiana University in the state of Indiana but live in one of the above mentioned states, you may complete the form below and send to the address provided below.

Please note that this form will not exempt an employee from the applicable local income taxes for the state of Indiana or taxes imposed in your home state. The employee may still be subject to Indiana county taxes. Please see link below for applicable resident and non-resident county rates:

Complementary Tax Withholding

As of 7/1/2016, Indiana University is able to withhold complementary taxes for an employee's state of residence. (KY, MI, OH, PA, WI). Individuals who have a WH-47 reciprocal agreement on file may choose to have their resident state taxes withheld in addition to Indiana non-resident county taxes. To facilitate this withholding, the employee should ensure a WH-47 has been completed with their campus HR department and then complete and send their applicable state tax form (KY, MI, OH, PA, WI) to the contact information below. For a listing of state tax forms see Registered States for Withholding.

 

Mail Payroll Department - Poplars Room 529 400 E. Seventh Street Bloomington, IN 47405-3085
Fax (812) 856-0805

 

For questions, contact taxpayer@iu.edu

Estimated Tax Payment(s)

Wages earned in Indiana by employees with reciprocal agreements are subject to tax by the employees’ state of residence (KY, MI, OH, PA, WI). Individuals who choose to have no complementary taxes withheld (see above) and have no state taxes withheld might be required to make estimated tax payments to their state of residence. Individuals should contact their state department of revenue for additional information regarding estimated income tax requirements.

Tax Return Filing(s)

Residents in the reciprocal agreement states will need to file the appropriate Non-Resident Indiana form at the end of the year. Individuals should obtain information from their state department of revenue for additional filing requirements, including their resident state individual income tax returns. In some cases, the individual may be able to claim credit for taxes withheld and paid to Indiana on the income tax return of their resident state.

Please note the Indiana University Tax Services does not offer assistance of any kind in the preparation of employee’s personal tax returns. Employees should consult with a tax advisor with further questions on the proper forms for filings.

Contact Information

Mail Payroll Department - Poplars Room 529 400 E. Seventh Street Bloomington, IN 47405-3085
Fax (812) 856-0805