I recently took a job in Missouri and rent an apartment there. I moved from Michigan where my plant and job was closed in April. I own a house in MI where my family will live for the next year or so. My current employer is deducting state taxes for both states, is this right? Which state will I owe taxes to, will I owe to the state where the money was earned, or how does it work. Any answers will be greatly appreciated.
Thanks Chris

If you are present in a state, then any income earned during this period, must be reported to the state.

To the state you live in, you must report your worldwide income for the year or for the residency period. If you paid taxes to another state, then you will claim credit for those taxes.
Read: Your U.S. Tax Return: Working or Living in Two or More states (http://taxipay.blogspot.com/2008/06/working-in-two-or-more-states.html)