How do I pay State Income Taxes if I live and work abroad? Of which State am I a resident?
I currently live in California. I have been here 5 years and I rent. I am starting a job with the State Department in the Fall and will move to DC for 6-18 months and then live/work abroad. I have no family ties in California. My family is in Illinois. How does this work??? Will I be a California resident even though I have no family or physical presence here? Will I be an Illinois resident? Will I be a DC resident (even though once I go abroad I will have no ties in the DC area)?
Public Comments
- You wont. The first year you will be responsible for the CA. taxes for the time you lived their. When you move to DC, I believe its only federal. Illinois has nothing to do with it unless you claim that as your residents. Ties do not have anything to do with tax's. As a federal employee overseas you will still be taxed on your income, but I believe you still have to claim a home state. Many full time RV'ers that live on the road, use a mail service and banking in states that are low on taxes.
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