[paramthegreat]

Hi,

I work for on H1B visa for a software consulting firm that is based Texas. They run the payroll in Texas and withhold Federal Tax but no state tax.

I was contracted to work for a client that has offices in 2 states where I worked in the following order for year 2006:
1. Worked in Louisiana for 3 months (March - May)- Drivers License from Texas, bank and correspondence address in Texas - all correspondence was sent to my wife's apartment in Texas
2. Worked in Kentucky for 4 months (June - Sept)- Drivers License from Texas, bank and correspondence address in Kentucky.

Currently, I am residing in the State of New-Jersey (wife moved here) and I work remotely (from home) for the client's office in Kentucky. I moved to New Jersey in Oct 2006 and have acquired a driver's license there. I plan to be a resident in New Jersey longer than 1 year.

How do I go about filing state taxes:
1. What states am I required to file taxes in?
2. Can I get any adjustments?

Also I have been on H1B visa all year for 2006, I assume that makes me a resident alien. What form do I need to fill for federal tax? What are the deductions n that I can take to determine my taxable income. I have moved between 3 states and I have been reimbursed by my company for one of my moving expenses.

[AtlantaTaxExpert]

Louisiana and Kentucky probably think they have a claim on some of your pay, driver's license notwithstanding.

However, if you lived in a hotel or a month-to-month apartment, I could argue that you lived there temporarily. Any tax you would owe would be minimal, so file to stay legal.

You DEFINITELY have to file New Jersey as a part-year resident.

You ARE a resident alien. You MAY be able to claim the per diem deduction for your stay in Louisiana and Kentucky based on the temporary nature of the work there.