YOUR TAXES; State Laws On Where You Live And Earn

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Different states have different non-resident tax laws on who is required to pay non-resident taxes. Although certain states have varying non-resident tax laws, generally, if you live in one state and work in another remotely (so you don’t physically travel to another state for work), then you would only file and pay taxes to your resident state.

State income tax is usually based on your state of residence. If your state of residence imposes an income tax, you must typically report all income you earned during the year and pay tax at the.

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Do I pay taxes where I live, or where I work?. you didn’t earn it in the US. That said, your employer might withheld tax and remit it to the IRS, and you’ll have to chase them for refund.. as you state, this person has to negotiate tax credits with the other taxing entities; no reduction.

In 2018 for example, the flat state income tax rates ranged from 3.07 percent in Pennsylvania to 5.99 percent in North Carolina. This means that if you earn $100,000 in Pennsylvania, you only pay $3,070 in state income tax. And if you earn $1 million, you still only pay 3.07 percent or $30,700.

If you live in one state and work in another, you have to pay taxes to both governments. States with no income tax, such as Florida, are exceptions. You file a non-resident tax return with the state where you work to report whatever income you earn there.

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Earning income in more than one state may require that you file your taxes a little bit differently. The filing requirements will depend on the state(s) that you claim residence in. You may live.

In general, you‘ll pay state taxes on all the personal income you earn in your home state (unless you live in a state without personal income taxation). If you work in a state but don’t live there, you are considered a non-resident of that state.