Ask Experts Questions for FREE Help !
Ask
    mfdesmond's Avatar
    mfdesmond Posts: 1, Reputation: 1
    New Member
    		  
    #1

    May 26, 2010, 05:48 PM
    Work in MS and live in AL do I have to pay MS withholding taxes
    I live in AL and the company is in AL.. They have a contract to do some work in MS, Is it correct for them to withhold AL & MS taxes?
    MukatA's Avatar
    MukatA Posts: 7,110, Reputation: 176
    Tax Expert
    		  
    #2

    May 27, 2010, 01:53 AM

    If you work (or work and live) in two different states, you will file tax return in both the states.

    Any income earned while present in a state must be reported to that state.

    One state is your tax home. In the state that is not your tax home, report income you earned while in that state. If you have received only one W2 from your employer, then use simple arithmetic based on number of days spent in the state to figure our the income that you should report to this state.

    In the state that is your tax home, report your worldwide income for full year. Also in this state claim credit for the taxes paid to the other state. Your U.S. Tax Return: Working or Living in Two or More states
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Live in VA, work in MD. Where do I pay taxes? [ 3 Answers ]

I live in VA, but work as a consultant in MD. In which state do I pay state taxes. I'm working on a 1099, so no taxes are being withheld. Thanks!:)

If I live in LA, but work in Tx, do I have to pay LA taxes? [ 1 Answers ]

I am currently residing in Louisiana, but work in Texas. All of my income in earned in Texas. They do not have state taxes. Do I have to pay Louisiana because that is where my primary residence is?

I work in PA and live in MA where do I pay taxes. [ 2 Answers ]

I work in PA and lives in MA which state do I pay taxes in?

I work in NJ but live in NY, how much taxes will I pay? [ 5 Answers ]

I currently work in NJ, but I live in NY... Will I have to pay both state taxez and if so how much? I am married with no children and I make 27,000. I'm also having trouble filling out my W4 form (or is it W2? ). Should I choose "married, but withhold higher rate..." or should I just choose...

View more questions Search