For some reason whenever i walk into the city of Markarth, the guards are always wanting to arrest me under the terms of "conspiracy and murder". Whenever i say their making a mistake, try to pay off my bounty, say I'm with the guild, or even accept to go to jail, they never stop pursuing me or will take me to jail. Any way to fix this? This is the one city where guards will constantly attack me because they wont take me to jail when i agree to go.

have a look here and see if it helps

http://uesp.net/wiki/Skyrim:Markarth

Thanks! I'll be sure to try this and see if it works.

Got the same problem. Its very fustrating. I have to basically skip any mission that involves going to Markarth. Hopefully this gets patched in Jan when the next patch is suppose to arrive.