Telecommuters being asked to pay taxes for home state of
Posted By: their employer. See inside on 2005-11-01
In Reply to:
By TOM HERMAN and RACHEL EMMA SILVERMAN
Staff Reporters of THE WALL STREET JOURNAL
November 1, 2005
A move by the Supreme Court means that many telecommuters could ultimately face higher income-tax bills.
The nation's highest court yesterday declined to hear an appeal by a Tennessee man who telecommuted to New York and was charged by that state for taxes on all his income. Because the Supreme Court won't review his appeal, New York's decision stands.
Many telecommuters could face higher state income-tax bills if other states are emboldened by New York's success and enact similar rules that tax out-of-state telecommuters. Some members of Congress already have introduced legislation to protect telecommuters from such taxes.
Some 9.9 million people work at home full- or part-time for employers other than themselves, according to the Telework Advisory Group at WorldatWork, an association for human-resources professionals. As telecommuting has become increasingly popular in recent years -- and as higher gas prices make commuting even more expensive -- millions of people are working in one state for employers in other states. Tax issues may arise over which state or states can tax a worker's income.
New York, a high-tax state that's home to many large corporations, has pursued out-of-state telecommuters aggressively. "By its silence, the Supreme Court permits other states to do the same," says Nicole Belson Goluboff, an attorney who has written extensively on telecommuting law. "Any state might find this attractive and go ahead and start taxing nonresidents."
A handful of other states, including Pennsylvania and Nebraska, already have rules similar to New York's.
The case at issue involved Thomas Huckaby, a computer specialist who lives in Nashville. Earlier this year, New York's highest court, in a 4-3 decision, said Mr. Huckaby owed New York taxes on all of his income from a New York employer -- even though Mr. Huckaby had spent only about 25% of his time in New York and the other 75% in Tennessee.
The Huckaby case involved a New York State tax-department rule affecting people who live in another state, work for a New York employer and occasionally come to New York on business. That rule says income from work performed out of state is taxable by New York unless it's done for the employer's "necessity." Mr. Huckaby acknowledged his employer didn't require him to work in Tennessee, says Peter L. Faber, a New York lawyer who represented him. Mr. Faber argued New York's "convenience" test violated state law and the U.S. Constitution by taxing income earned out of state.
The New York rule could have wide-ranging implications. It may affect not only people like Mr. Huckaby, but also others who live in neighboring states, work in New York and choose to do some of their work at home. "We need federal legislation" to protect both types of workers, Ms. Goluboff says.
Consider the case of Edward A. Zelinsky, a law-school professor who lives in New Haven, Conn., and teaches at a law school in New York City. He says New York taxed him on all his law-school wages even though he spent 60% of his time at home doing research, writing, and grading exams and papers. Prof. Zelinsky lost his case in New York's highest court, and the U.S. Supreme Court declined to review the decision in 2004.
New York adopted its rule many years ago. Officials were concerned about commuters who lived in a neighboring state, such as Connecticut, and brought work home on weekends, worked on Saturday and Sunday, and then claimed to owe New York tax on only five-sevenths of their income, instead of 100%.
Telecommuters might get a reprieve if Congress passes proposed legislation called the Telecommuter Tax Fairness Act. The bill, which seeks to prevent states from collecting taxes from employees for work performed outside that state, was sponsored by Democratic Sen. Christopher Dodd and Republican Rep. Christopher Shays, both from Connecticut. Under the bill, workers would have to be physically present and working in a state for that state to be allowed to collect income tax from employees.
Sen. Dodd said yesterday that the court's move "underscores the need" to take legislative action.
The Supreme Court announcement is not a decision on the case's merits. The lower-court ruling stands and could, of course, lead other states to enact such rules. But it doesn't mean that the court has decided the issue or that such laws will be upheld if appealed in the future. Copyright © 2005 Dow Jones & Company, Inc. All Rights Reserved.
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Taxes, SS, fed and state, how do I sm
figure out how much to set back from my pay in order to pay the required taxes? Any websites out there to help me figure this out? TIA
What do you mean? They pay/deduct all but state taxes?
.
Yeah, really. Why should we pay state taxes
in the company's state as well as our residence state? That's double taxation. Although, the way I read it was that it was for people who go into the office part of the time. True telecommuters. Most of us don't.
not really, state taxes are not the problem here-sm
it's the property taxes that are out of control
I did not pay state taxes last year...sm
and wanting to get them paid now ASAP so it will not delay my tax return now. Does anyone know how the quickest way I can do this and get credit so as to not mess up the timing of my tax return. It was only like $130.00 but we have had such financial hardship this past year that that was hard to come up with at times. I was wanting to do Turbo Tax like I have for the past few years. Any ideas? Thanks!
The only tax I have to save as an SE is state tax. Other taxes are withheld by company
xx
right, taxes are paid in the state where you earn 'em...
since you work at home, you earned your wages in your state and pay them to your state.
1 ck to feds, 1 ck to state, divide last year's taxes into 4 payments...
xx
Have never in my years at home been asked
to do such things as I read here. To stop your work and catch a horse? Apparently what goes on with others is they must appear to be weak and therefore people call upon them to do things for them because you work at home. I just do not GET it myself. I do not let people interrupt my work.
Can an at home employee deduct a computer on taxes?
Question on Income Taxes and Home Office
I need some input, please, on our tax situation. I moved to a new state and am having a new tax guy this year. I always declare my home office and a percentage of my utilities - have done so for 10+ years. This new tax guy said that my home office deductions won't matter, as they aren't higher than the standard deduction we are allowed as a married couple, and he can't believe I have never just filed a fast simple tax form without itemizing. My old tax guy never said a word - he would just get all my home office figures for me each year and said he "entered them" on my taxes. He also charged me around $350 to "itemize" each year, just for these home office figures. They are always about $3000 a year total. So now it seems I've been throwing my $$ out the window with my old tax guy? I always thought our home office deductions were able to be written off, so to speak, separate from that individual standard deduction. So, either my new tax guy doesn't know what he's talking about, or my old guy didn't. I have a feeling the new guy is right, though, the way he explained it. Does our home office deduction have to be more than the regular old standard deduction? Or does our home office cost count separately on taxes? Thanks for any help, as I don't want to hire a THIRD tax guy to check the other two. Thank goodness I never did Turbo Tax - I'd be even more lost.
LOL. Sounds like my home state. nm
nm
You pay your home state tax, whatever percentage that is. You can claim
deductions for anything associated to your job....i.e., a percentage of your utilities, expenses such as supplies needed to do your job, etc. Save all receipts for any of those items that you purchase related to the job, and I think the 1099 would be sufficient.
I deduct all expenses that relate to my home office-% of utilities, taxes, repairs to that room, --s
mortgage (we do not plan to sell our house so this deduction will not affect us)as my office is used only for that purpose, internet, phone, I print out a daily schedule so paper/ink, computer repairs, pens, pencils, tape, staples, file cabinets, storge bins for tax recepts/tax returns,file folders. Anything/everything I use to do my job.
I was using mileage for another account where I pick up tapes every day, but found for me the time it took to keep track of the mileage, write it down, add it up was not worth the effort so I quit doing it this year.
Buy local. The local stores pay taxes to support your city and state. (SM)
Using online and catalogues does nothing to promote the local economy. We complain about outsourcing and about the big companies gobbling up all the work so the jobs at local hospitals are gone, yet we do the same thing when we buy on ebay, catalog, and these web sites that may be located any place in the world as their primary business location.
You have your W2 showing very clearly those taxes were paid. MQ is responsible for those taxes
because you were a statutory employee. That is the responsibility of the employer to pay those just as though you were an employee.
Work for a company in a state that has no state income tax
I think there are 3 or 4 out there (Florida, Texas, and a few others.) Then you really avoid the tax situation.
Name a state and put every company in that state under suspicion.
Tell what the first letter of the company is and every company with that initial will be suspect. I would imagine that everyone who works for that company has received an inquiry from department of labor, so they would all be aware of it.
Why do we persist in setting up companies to be torn down when there is no reason for it. If a company is suspect, then give the name of the company, don't give big hints that cover at least 5 companies, 4 of which may be the best companies to work for, but fall into the category of an alphabetical letter, etc.
Contact your local BBB in your state and in their state if different from yours.
xx
Not mandatory, as you state it depends on your state - sm
or county. Where I am I do not need it; though if I was cutting grass or landscaping I would where I live, makes no sense to me as I am providing a service, but very happy I don't have to have one. We pay personal property tax here and I would have to list all my business related equipment and pay taxes on it every year I was in business. So until I am told otherwise by my county, I will not be getting a business license.
As an IC when paying taxes, are SS and fed taxes sent SM
to the same place?
every question asked on here could be documented in some book. So? cant a question be asked?
x
varies from state to state...nm
x
deluded are ye? state by state..sm
http://www.washingtonpost.com/wp-dyn/content/article/2006/05/15/AR2006051501201.html
http://www.votefraud.org/vote_fraud_articles_by_state.htm#VO
http://www.votefraud.org/
Some people just CHOOSE to live in DE NILE (DENIAL) and we all see you are ONE OF THOSE.
Some of us CHOOSE to go through life as a REALISTS!
  
Things are different from state to state, but I think
you probably could, if you are actually "laid off." You would have to get a letter from your surgeon regarding your temporary disability status and take to the unemployment office and to Medicaid....but you know how Medicaid works, 1.5 pennies over the income limit, you don't get it. But, as I stated, laws differ from state to state, so you would have to inquire or go on their websites and see what they will approve and what they will not.
If not in your state, try filing in THEIR state. Then they
nm
Each state has different laws. Where I live, if I have clients in the same state I live in, yes I ne
have clients from another state, no I do not need a license. Every state is different. I checked with my attorney and the State Business offices.
My kids have suffered greatly from me working at home with them home. SM
I have been working at home as an MT since my two kids were born. They are now 4 and 5. In the first few years, I had no help whatsoever. Their father was a bum who didnt work or take care of them while I worked. Your children get neglected while you work basically. And babies and young children desperately need your attention while they are home with you.
My kids have so many behavioral problems right now because of their neglect. I would try to set them up with things to occupy themselves, like coloring or a movie, etc.
I finally put them in day care and things have improved, but there are still a lot of issues because of the damage that was done. They still try to seek attention by doing bad things and they dont listen to me because they are so used to me letting them get away with a lot of stuff because I was too busy typing to discipline them in their early years.
If I could do it all over again, I would definitely have put them into day care from the very beginning.
My advice would be to seek PT care for your baby. Maybe you can do some work around her schedule a little when she is home, like when she takes a nap, and then bang out a bunch of work while she is in day care.
I enjoy being alone at home, but I've got one home sick from school already.
One on one with a kid is nice, too.
This summer has been absolutely crazy. I haven't had a moment to myself for three months because all of my kids were home traipsing their friends through the house and yard. My husband switched his work schedule, too, so he's around more than usual. However, I like not having to do two loads of dishes and four loads of laundry a day. There are no toys or clutter dragged out everywhere. I can clean the house first thing in the morning, and it stays clean until everyone gets home at night.
I even got to relax with a cup of coffee and watch TV for half an hour this morning, something I liked for a change instead of cartoons or kids' movies. I signed up for an online class that I've been wanting to take. I can exercise without being interrupted. Yesterday, I went to the mall and spent all my saved up gift cards. I got some clothes, books, bath stuff, and a new coffee mug. My work gets done a lot faster, too. Call me nuts, but I've never had the luxury of being alone in the house for 14 years. It's kinda nice. I love my family with all my heart, but I love having a few hours to myself each week, too.
Except now the cat and dogs have been acting weird since the kids went back to school. They must think that I need someone or something to clean up after and correct behavior on. They're getting into everything and racing around the house behind me.
my take is that she worked inhouse, not at home, and now wants to find out how to work at home. nm
x
Forget "per line." Your take-home pay should be taking home SM
roughly what it was before. If it is not, is it because your current pay rate for editing (which in many companies keeps changing as the VR system is developed) is too low or is it because your talents and skills are more for speed typing than speed editing?
If the first, discuss it with higherups, and go get a new job if you don't get the response you need. My last MTSO was secretly refiguring how production was counted to pay us less. I can accept hard reality, it was the secrecy that burned. Sometimes, though, it's just that the learning curves of individual editors and that of the system aren't in sync, and you end up temporarily making less.
If the second, though, recognize it as soon as possible and change to straight transcription work, in your company or a new one, for as long as you can find it.
As for why we aren't paid more for a higher skill, that's just the way the labor supply ball bounces. Best wishes.
THANK YOU! That is my point. She still pays taxes, her DH still pays taxes...
so who exactly is getting cheated? And just who are you talking about when you talk about whether it is "fair" or not. I don't give a crap how much taxes my neighbor pays. It's none of my business. And if I found out they were paying less in taxes than me, I would ask them how they heck are they doing it so I can do it too!
I just want ask, is it necessary to get personal and insult? You disagree with me, fine. But I've been called a liar, a cheat, a no-ingetrity thief, my intelligence has been insulted, and I have had my parenting skills questioned. That is a little over the top. If you cannot debate an issue without resulting to personal attacks, then YOU are the stunted one!
It is a very good thing that some of you work at home, ALONE! You are sorely lacking in people skills and diplomacy. Let me guess, when you worked in the office you were one of those girls who didn't like to share her desk, griped if someone dropped a crumb on your desk, and kept track of everyone's breaks, lunches, and line counts just so you could tattle to the supervisor! I've worked women like you, it was like working with kindergarteners. That's why I came home to work. Do us all a favor, looking in the mirror, count your wrinkles, and realize that this isn't high school anymore!
I think she means she has wireless TO her home, not IN her home..nm
x
hospital at-home -vs- national at home
I have an interview today with a hospital...work in-house for 3 months, then go home, paid on production. I don't know as of yet what they pay production, so my question is to anyone who works for a hospital at home AND has also worked for a national at home...
Which would be the best to choose? The hospital offers great benefits, but the national I work for now also has benefits, not as good as the hospital, though. Any input would be most appreciated!
Okay, you asked for it
Multivitamin - prenatal (as directed by GYN dr, I'm perimenopausal)
flaxseed oil (1,000 mg) once daily)
Chromium picolinate (500 mcg) one daily
B-150 vitamin one daily
Green Tea capsule (315 mg) one daily
Calcium, magnesium and Zinc (combined tablet)
I can skip a few days and can really tell it. My energy level really decreases.
How many of you get asked how to get into it?
I have people I do not know that heard from someone that I work at home and want to know what it takes to get into it. Until this discovering this board this year, I would tell them that I lucked up into the job. I worked at the hospital and because of a sick child I was allowed to go home to work aftering working in a clinic setting for four years and hospital for two years. I also tell them it takes a lot of discipline to work and not do other things that needs to be done around the house. I don't mind explaining to them. I give them the pros and cons. What I can't understand is why do they think they can call me during working hours and keep me on the phone with questions?
Have you asked her vet?
Thats strange. I'm not sure why, i wouldn't think its a disorder in anyway. Have you asked the dog's vet? That might be your best resource. Is being around the father new for her? It may just be that she is still adjusting to the new person in the house or her new environment. Once she becomes adjusted, I'm sure she will be fine. But Anyway I would ask the vet- they would be the best, most reliable & accurate resource.
Again, I do not believe she asked you anything!!!!!
nm
I asked the same ?
a few earlier posts as I am in the same boat. I am leaning towards the local job which is pretty much the response I got from other people. The reason being that I would have the same dictator over and over and can use macros/expanders to work less time and earn more money which sounds good to me.
Thank you. That's all I asked. nm
.
Well since you asked here's.....
I would never have anyone treat my neck if I were having problems like you have. One wrong move and you could get paralyzed.
I've seen 3 chiropractors over the years and only 1 was worth a toot. The other 2 were just out for money - trying to see how much they could get me to come in so they could make the money. The only good one I found works out at my gym and has a reputation for being an honest guy - and that was my opinion as well. He helped me when I had some lower back problems and I'd go back to him in a nannosecond for that if a problem arose again.
Make sure if you see one that you ask friends, family, neighbors, etc for recommendations of someone who's reputable.
The biggest quack I saw was right after an automobile accident when I had a muscle spasm in my shoulder from where the seat belt grabbed me and the lunkhead thought he saw the equation of automobile accident + another driver's fault = tons of money if he kept me coming in. Clue #1 he was ruthless was on the first visit he was wanting to know who my attorney was and insisting that I needed one. Good jiminy crickets - it was just a muscle spasm!
I have asked him about why?
He says, he loves her. He said it doesn't matter to him if she is a lesbian. He loves her and her kids. The kids are not his either. He simply likes what she has to offer him. He is constantly in fights with her other lovers who lives with him and her also. HELP
I would have, had I been asked. sm
My mother, God bless her, was adamant in her wishes to be placed in a nursing home when the time came so that she wouldn't be a burden on any of us, although we all would have taken her in. She took care of her mother who was very ill for a long time and she told all of us that she did not want any of us to take her in because of what she went through.
She lived on her own until she was almost 80, despite failing health and my dad having died 15 years before. When the time came that she knew she didn't have much longer she insisted on the nursing home and stayed there for a short time until she passed away and was buried next to my father on what would have been their 60th wedding anniversary.
I took in my grandmother (my mom's mother) for 3 months back when my mom and dad wanted to go to their winter home. It was hard, as gram was so sick, and I found myself at times wishing I hadn't agreed, but it was one of the best experiences of my life taking care of my grandmother and I'm glad that I had that time with her.
Would I have taken my mom in if she had asked? You betcha. In a heartbeat.
Been asked before
When will that buzzing noise stop. Am off of here until it does. I know that this has been asked before but it has been 3 days since it has started. Driving me nuts. Will try again next week to see if it has stopped.
I think I asked for too much...sm
I applied for a FT position with a large hospital in my area. I have 7 years experience doing the "basic four". On the online application it asked what I would want for a salary and I said $17.00 p/h. Then, when I thought about it, I wondered if I had asked for too much and maybe they wouldn't even contact me. I looked up the median income for my area and for working in a large hospital it said $25,000 to $29,000. So, any advice? Should I reapply with a lower demand? I figured if I gave them a higher number they would have something to work down from, but I think I went too high. I would really love to get back into a hospital and away from working from home. So....should I reapply? Any advice? Thanks in advance!
This is asked so often; wish there was a way to have a
nm
I should have asked for more lol
They didn't blink at $26. lol. Oh well, next time I'll know to charge more. I'm excited to be doing this project though.
There are a lot of "closet" Montana gals around here. :-)
Someone asked me to do that once -
I had almost forgotten - it was the worst thing I ever got into - and I have done textbooks and all kinds of MT. You couldn't tell who was who, some was not audible. Total nightmare.
Yes but you asked for her to tell you.
You can't fault her for knowing your dx when it is her job to type it up.
I asked my doc...
and she had no idea who did her transcription?! I think a lot of doctors are completely clueless, as their office managers/hospital set all of this up and the docs just sign the notes when they come in.
I asked here because
I felt I could get some sound opinions, but unfortunately, there is always someone who thinks you are doing something wrong. I am a single mom, have raised her without any help from her father or anyone else, have worked for 30 years as an MT and a large chunk will go to my church. I respect and value the opinions of fellow MTs (the majority of them) and I thought that was the purpose of this board, to ask for opinions and help when needed. I do know enough to speak to a financial planner but I wanted opinions on how I should handle the work situation.
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