Ohio Residency Requirements for Taxes

Ohio has established detailed rules to determine an individual’s residency status for income tax purposes. This classification is important because it dictates which of an individual’s income sources are subject to Ohio taxation. Understanding whether you are a resident, part-year resident, or nonresident is necessary to correctly calculate and meet your annual state tax obligations.

Determining Your Ohio Residency Status

Ohio law uses two primary methods to determine a taxpayer’s residency status: domicile and a statutory residency standard. Domicile is a legal term for the one place an individual considers their true, fixed, and permanent home, and it is the location to which a person intends to return whenever they are away. An individual can only have one domicile, and it does not change by being temporarily present in another state for work or vacation.

For individuals with a home in Ohio and a residence elsewhere, the state uses a “bright-line” test to provide an objective measure. To be presumed a nonresident under this test, an individual must meet all of the following criteria for the tax year:

• Have fewer than 213 contact periods in Ohio.
• Maintain an abode outside of Ohio for the entire year.
• Not hold a valid Ohio driver’s license or ID card.
• Not claim an Ohio homestead exemption for property tax purposes.
• Not receive a tuition discount at an Ohio college based on residency.

A “contact period” occurs when an individual is away overnight from their non-Ohio home and spends any part of two consecutive days in Ohio. For example, arriving in Ohio on Monday and leaving Tuesday morning counts as one contact period. Keeping a detailed log of days spent in the state is a common practice for individuals, such as retirees who split their time between states, to accurately track these periods.

Special Considerations for Residency

Military servicemembers and college students are subject to special provisions that can override the standard residency tests.

Under federal laws like the Military Spouses Residency Relief Act (MSRRA), a servicemember’s legal residence for tax purposes remains their state of legal residence on file with the military, regardless of where they are stationed. A servicemember domiciled in another state does not become an Ohio resident simply because they are assigned to a base in Ohio.

The MSRRA extends similar protections to the servicemember’s civilian spouse. A non-military spouse who moves to Ohio to be with their partner can retain the same state of legal residence for tax purposes. This prevents the spouse from being required to pay Ohio income tax on wages earned in the state, provided they are in Ohio solely to accompany the servicemember. To claim this exemption from withholding, the spouse provides their employer with a specific state form.

College students attending an Ohio institution do not become Ohio residents for tax purposes if their domicile remains in another state, as living in Ohio for school is considered temporary. However, actions that indicate an intent to abandon a prior domicile, such as registering to vote or obtaining a driver’s license in Ohio, could complicate this status.

Filing Based on Residency Status

Your residency status determines which income is taxable by Ohio, and each status—resident, part-year resident, and nonresident—has distinct filing requirements. Ohio requires you to use the same filing status on your state return as you did on your federal return.

A full-year Ohio resident is subject to state income tax on all income, regardless of where it was earned. This includes wages, investment income, and business profits from any source. To prevent double taxation, Ohio allows a tax credit for income taxes paid to other states on income taxed by both jurisdictions.

A part-year resident is an individual who moves into or out of Ohio during the tax year. These individuals are taxed on all income earned from any source while they were an Ohio resident. They must also pay Ohio tax on any income specifically sourced to Ohio during the period they were a nonresident.

Nonresidents are only required to pay Ohio income tax on income earned from Ohio sources. This includes wages for work performed in Ohio, rental income from Ohio property, and profits from a business operating in the state. An exception exists through Ohio’s reciprocity agreements with its neighboring states:

• Indiana
• Kentucky
• Michigan
• Pennsylvania
• West Virginia

These agreements allow residents of those states who earn wages in Ohio to be exempt from Ohio income tax on that compensation, provided they file the appropriate exemption certificate with their employer.

Proving Non-Residency

Individuals who meet the nonresident criteria, particularly under the bright-line test, can formally declare this status to the Ohio Department of Taxation. This is done by filing Form IT DA, the “Affidavit of Non-Ohio Residency/Domicile.” This form serves as a sworn statement that you meet the legal standards to be considered a nonresident for the tax year.

The affidavit requires you to affirm key facts under penalty of perjury. You must state that you were not domiciled in Ohio, list your state of domicile, and confirm that you maintained an abode outside of Ohio for the entire year with fewer than 213 contact periods in the state.

Filing Form IT DA creates a clear record of non-residency. The official version of the form should be obtained from the Ohio Department of Taxation’s website. The affidavit must be filed separately from your annual income tax return and sent to a specific address designated by the department by the October 15 deadline of the year following the tax year.