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Live and work in different states

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crazyeighty

Junior Member
What is the name of your state (only U.S. law)? SC

Hi.

I live in South Carolina, and work from my home office, for an employer in North Carolina.

My taxes are withheld by NC. I am using Turbo Tax to do my return, and I am getting stuck on the state taxes.

It's saying I owe taxes in SC.. so do I file a NC AND SC return?

Thanks!
 


davew128

Senior Member
Caveat: I am not a NC/SC expert.

Ordinarily, I would be of the opinion you are not subject to tax in NC. Your withholding SHOULD have been for SC. Of course there may be court rulings to the contrary, and different states have ruled differently on the issue of non-resident telecommuting.

You should either approach your employer and ask them to correct your W-2 to reflect SC withholdings, or file an NC return getting a refund and then owing whatever you owe in SC.

In any event it would be prudent to hire a professional.
 

TinkerBelleLuvr

Senior Member
Caveat: I am not a NC/SC expert.

Ordinarily, I would be of the opinion you are not subject to tax in NC. Your withholding SHOULD have been for SC. Of course there may be court rulings to the contrary, and different states have ruled differently on the issue of non-resident telecommuting.
If you DON'T know, don't answer.

If NC & SC are NOT reciprocal states, then this does NOT work. You would have to file a non-resident tax return for NC first; then you file a SC return armed with the info of taxes paid to other states.

Especially when this is the first time you are filing a multi-state return, find a professional tax professional. And I am NOT referring to one of the "I am open only seasonally."
 

tranquility

Senior Member
See a tax professional this year. When you have difficult tax situations, the internet cannot advise without a lot more information and a bit of research.
 

LdiJ

Senior Member
See a tax professional this year. When you have difficult tax situations, the internet cannot advise without a lot more information and a bit of research.
I agree, however I would guess that the employer has made an error and withheld for the incorrect state, and that should be addressed with the employer ASAP.
 

davew128

Senior Member
If you DON'T know, don't answer.
Take your own advice. See below:

If NC & SC are NOT reciprocal states, then this does NOT work. You would have to file a non-resident tax return for NC first; then you file a SC return armed with the info of taxes paid to other states.
Apparently YOU don't know and YOU answered. Incorrectly I might add.
 

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