Those who travel to Delaware pay the most, while high-income Pennsylvanians who work in New Jersey get a deal by avoiding garden state income tax. Arizona is mutualist with a neighboring state – California – as well as indiana, Oregon and Virginia. Submit the WEC form, the Deduction Exemption Certificate, to your employer for a deduction exemption. Scroll down to the IT-DA (Affidavit of Non-Ohio Residency) form. Select Yes to complete the form. Pennsylvania and New Jersey have been in agreement since 1977, when the two states agreed that they would not collect income tax for workers who came from the other state. .