Author Topic: Out of state and out of country travel (state taxes)  (Read 1304 times)

Dansandiego

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Out of state and out of country travel (state taxes)
« on: October 29, 2016, 05:05:35 AM »
Hi Fellow MMMs,
I recently took a job in which I'll be in Texas 2weeks/month and out of the country 1wk/month (The company is headquartered in Germany and I have a home in California where I will be 1wk/month). Is there a method and benefit to claiming earnings in TX (where I will be living in a hotel) even though I own a home in CA and not in TX)?

Undecided

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Re: Out of state and out of country travel (state taxes)
« Reply #1 on: October 29, 2016, 09:23:57 AM »
Hi Fellow MMMs,
I recently took a job in which I'll be in Texas 2weeks/month and out of the country 1wk/month (The company is headquartered in Germany and I have a home in California where I will be 1wk/month). Is there a method and benefit to claiming earnings in TX (where I will be living in a hotel) even though I own a home in CA and not in TX)?

If you will continue to be a CA resident, you'll continue to be subject to CA tax regardless of where the income is sourced. Take a look at the FTB publication on residency:  https://www.ftb.ca.gov/forms/2015/15_1031.pdf

In my experience, CA will pursue residency claims. At the level of info you've provided, my own opinion is that you haven't said anything that suggests you'll stop being a CA resident.

Dansandiego

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Re: Out of state and out of country travel (state taxes)
« Reply #2 on: October 29, 2016, 06:15:10 PM »
After further thought, I will definitely still be a CA resident (and no reason to put that in jeopardy with in state tuition in my kids future a few years down the road). Thanks!

I'm a red panda

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Re: Out of state and out of country travel (state taxes)
« Reply #3 on: October 29, 2016, 06:30:01 PM »
Texas doesn't have a state income tax, but you need to pay attention to tax laws when you travel. Sometimes you are on the hook there and at home.

 

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