Taxes- Moved from MN to TX & Working online (2013, home)

[JESS0707]

I moved to Texas from Minnesota 6 months ago. I worked in an office in Minnesota and when I told them I was moving, my employer figured out a way to keep me with this awesome company by having me take part of my job with me and working part time from home in Texas. It's now tax-time. Texas doesn't have state taxes, but Minnesota does. Is it as simple as just filing my state taxes with Minnesota like I did the previous 7 years?
I read somewhere else that since I'm a resident of TX and I work from here 100% of the time that that might make a difference.
Any input would be amazing!

[Tcoma11]

You only have to file taxes for minnasota for the time you worked in minnasota.

i work from home as well for an out-of-state company in new england.

[Bike4Life]

That depends on your employer. Technically, their payroll is suppose to bump you off the Minnesota state tax withholding. But sometimes they are the last to know about your residency status change. But going forward, you shouldn't have to pay anymore state income taxes as you are now in Texas. Year 2013 should be your last year to file MN state income tax return.

[ipuck]

I believe every state have different residency requirements. All the tax programs will ask you if you reside there for how many days and should be smart enough to give you correct answers to see how you need to file the state return.

If you still not comfortable, just ask an accountant to do your return this year. Cost is normally around 200-500 for an individual tax returns (i am not talking about the walmart booths jackson hewitt).

Of course i am not a tax accountant.

[JESS0707]

Originally Posted by Bike4Life

That depends on your employer. Technically, their payroll is suppose to bump you off the Minnesota state tax withholding. But sometimes they are the last to know about your residency status change. But going forward, you shouldn't have to pay anymore state income taxes as you are now in Texas. Year 2013 should be your last year to file MN state income tax return.

That makes perfect sense.

Seems like a call to HR is probably in order to see about getting me "bumped off" as you mentioned. So what I read elsewhere was accurate about residency defining the tax obligation, not where the company itself is located correct?

As another poster said I should probably have a professional do my taxes this year too just to make sure.

Thanks for all the help

[Bike4Life]

Originally Posted by JESS0707

I read elsewhere was accurate about residency defining the tax obligation, not where the company itself is located correct?

As another poster said I should probably have a professional do my taxes this year too just to make sure.

Thanks for all the help

Correct, you should be taxed where you work, not based on the company headquarters.

With a big change like this, it's not a bad idea to have a local CPA as it's easier for people like us to ask the right questions and spot potential deductions. You've got moving expenses for tax deductions this time. Once you find a year-round CPA that fits your needs, it makes it easier to contact them when you need advice some time later. Just don't go to H&R Block unless it's really simple - they are full of temporary staffs just doing data-entry for bonuses by how many they can process per hour.

[pinot_noir]

I work from home and my company is HQd in Virginia. I pay in Texas, but ditto the above advice to talk to your company.

[Oildog]

You should have a state tax for the period you resided in MN. Just Fed tax here in Texas.

That's how it worked for me when I moved to another state mid-year.

[trbstang]

I did some consulting work for a company out of state, and since I was not actually working in that state, their state taxes did not apply. But they did try to collect them from me and I had to prove, with a letter from the company, that I did not work in the state.

Professional athletes have to file taxes in every state they play ball in that collects state taxes. Can you imagine their tax returns!

Good luck on it!