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Author Topic: Establishing domicile  (Read 11862 times)

Smoky

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  • Posts: 3591
Re: Establishing domicile
« Reply #30 on: May 28, 2005, 05:07:56 PM »
Bob M:

I have no objection at all to paying legal and proper taxes.  I will try to minimize them through ethical and legal means of course as everyone should.

My problem is understanding what i am supposed to do.

Bob Z gives a good example of how complicated it can get.
Smoky S  Ham radio - W3PY

The magic of a campfire
where the fish get bigger
the mountains get higher
the hike was uphill both ways
and new friends become old friends

2005 KSDP3910 Newmar Kountry Star
Toad - Taurus wagon w/ axle lock
On our way to the Poudre River in Colorado for the summer!

Ron

  • Former Staff
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Re: Establishing domicile
« Reply #31 on: May 28, 2005, 07:22:40 PM »
What happens if during the course of a year you hold 5 jobs in 5 different states.  This could easily happen with a fulltimer as they live the itinerant life traveling from place to place.  A workamper in April in Ohio.  A dishwasher in June in Kalispell.  A commercial boat pilot at a California resort in August.   A professional gigolo in Texas in September.  A septic tank repairman in Florida in December.

Which state do I file taxes in?


Smoky,

I have been there done that.  During a period I worked in three states  while working for the same employer.  Since you are a resident in Montana you need to file a resident income tax there.  You will also need to file a non-resident return in Ohio, and Calif since these states have state income tax.  Since Texas and Florida have no state income tax the amount you make there will be included in your Montana tax return.  As I remember all your income has to be included in your MT tax return and you should get credit for the tax you paid Calif and Ohio.   I may have this wrong now since it has been many years since I had this situation.  Best to consult a tax person in your state of residence.

Ron & Sam-home is where we park it. Currently located   HERE

Smoky

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  • Posts: 3591
Re: Establishing domicile
« Reply #32 on: May 28, 2005, 07:32:27 PM »
Yeah Ron it gets very complicated.

As I enter this new world of fulltiming, I am discovering that much of the world bureaucracy does not know how to manage fulltiming.

Sometimes this can sting you, other times it can provide an unexpected but legal loophole.   I hope I learn fast enough so I don't get stung.
Smoky S  Ham radio - W3PY

The magic of a campfire
where the fish get bigger
the mountains get higher
the hike was uphill both ways
and new friends become old friends

2005 KSDP3910 Newmar Kountry Star
Toad - Taurus wagon w/ axle lock
On our way to the Poudre River in Colorado for the summer!

Ron

  • Former Staff
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  • Posts: 18087
Re: Establishing domicile
« Reply #33 on: May 28, 2005, 08:04:08 PM »
Even the tax folks in the state aren't allways sure how it suppose to work. ;D ;D
Ron & Sam-home is where we park it. Currently located   HERE

Smoky

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  • Posts: 3591
Re: Establishing domicile
« Reply #34 on: May 28, 2005, 08:06:39 PM »
LOL anoither loophole if you dare to risk it.   ;D
Smoky S  Ham radio - W3PY

The magic of a campfire
where the fish get bigger
the mountains get higher
the hike was uphill both ways
and new friends become old friends

2005 KSDP3910 Newmar Kountry Star
Toad - Taurus wagon w/ axle lock
On our way to the Poudre River in Colorado for the summer!

Jim Godward

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  • Posts: 5734
Re: Establishing domicile
« Reply #35 on: June 02, 2005, 12:17:35 AM »
Smoky,

>>LOL anoither loophole if you dare to risk it.   <<

many states, MT and CA included will compute the tax owed based on your TOTAL income for the year but you will only pay that thax to the state in which you earened it.  When we moved to MT, I had CA income through April.  I had to add the CA and MT income together and paid CA at the rate of the total income for the amount I earned through April and vice versa for MT.  It meant that instead of paying the rate for say @10,000 to CA I paid the rate for $40,000 on the $10,000 and I paid MT the rate for $40,000 on the 30,000 I earned there.  :-((  Not the real numbers but chosen for convenience!  VBG

Also in many states, you have a limited time to change your license plates, drivers license and thus become a resident of that state!  :-((

CA, and others consider the value of barter as income, i.e., if you work for a site, that normal rent for that site is income and all the rest comes into play.

When I learned this and a few other things, I gave up the idea of working on the road especially since I would either need a separate license for each state or would have to play the home business location and work on contract for short periods where desired.  Just too much red tape for me.  Besides the liability insurance was just too costly for part time work for me as a PE.  I jsut let my license lapse and am enjoying myself.  BG

Jim
Jim
Jim & Pat Godward
AC7PO & KD7ZDM
Hillsboro, Oregon

 

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