Oklahoma State Income Tax

[marineissuemom]

What is the name of your state? Texas
I live in the state of Texas , in 2006 I worked part of the year in Texas then took a job in Oklahoma which payed more hourly. I knew I would have to pay Oklahoma State Income Taxs on my wages earned in Oklahoma. But at the end of the year found out that I also had to pay the Oklahoma state income Taxs on my earnings from the other job in Texas. Made me very unhappy but done so to keep out of trouble. Did not work any in Texas until 12/07 and quit the job in Oklahoma . I just received what amounts to a W2 form from the state of Oklahoma on my 2006 Tax refund, which says that because i received a refund from the 2006 taxs in 2007, it is considered income in 2007, and that i am to pay the appropriate state, local and federal taxs on it for 2007.I have all ready payed taxs on this money in 2006.

Now the question as I am not the brightest egg in the bunch. How is this legal? Is this not double Taxiation.And how is it legal for a state that you do not live in to be able to Tax wages you earned in your home state?

[TinkerBelleLuvr]

I live in the state of Texas , in 2006 I worked part of the year in Texas then took a job in Oklahoma which payed more hourly. I knew I would have to pay Oklahoma State Income Taxs on my wages earned in Oklahoma. But at the end of the year found out that I also had to pay the Oklahoma state income Taxs on my earnings from the other job in Texas.

You needed to have filed a part-year resident for Oklahoma for 2006. It allows you to split out the income from Texas from the income from Oklahoma. You may want to have someone amend your Oklahoma tax return.

Made me very unhappy but done so to keep out of trouble. Did not work any in Texas until 12/07 and quit the job in Oklahoma .

Did you work anywhere in 2007 outside of Oklahoma? If not, you could probably file a regular tax return for 2007 instead of fiddling again with a part-year resident return again.

I just received what amounts to a W2 form from the state of Oklahoma on my 2006 Tax refund, which says that because i received a refund from the 2006 taxs in 2007, it is considered income in 2007, and that i am to pay the appropriate state, local and federal taxs on it for 2007.I have all ready payed taxs on this money in 2006.

IF you itemized your taxes in 2006 and claimed state income tax, that would be true. If not, you don't have to worry about it.

Texas does NOT have a state income tax.

[marineissuemom]

I have never lived in Oklahoma just worked there. I quit the job in Oklahoma in dec. 2007 for a lower paying job here in my home state of Texas. Thank you for the information.

[LdiJ]

Originally Posted by Ginny J

You needed to have filed a part-year resident for Oklahoma for 2006. It allows you to split out the income from Texas from the income from Oklahoma. You may want to have someone amend your Oklahoma tax return.


Did you work anywhere in 2007 outside of Oklahoma? If not, you could probably file a regular tax return for 2007 instead of fiddling again with a part-year resident return again.

IF you itemized your taxes in 2006 and claimed state income tax, that would be true. If not, you don't have to worry about it.

Texas does NOT have a state income tax.

Actually Ginny, he/she should have filed a non-resident return for OK. That is the whole problem. He got taxed on his TX income because he filed an OK resident tax return instead of a non-resident (or part year if that would have applied) return.

I don't know how much money is involved, but I do know that he probably can't straighten this one out on his own. He needs a tax professional to amend his OK tax return to non-resident status to get back the money he paid on his TX earnings.

[TinkerBelleLuvr]

Originally Posted by LdiJ

Actually Ginny, he/she should have filed a non-resident return for OK. That is the whole problem. He got taxed on his TX income because he filed an OK resident tax return instead of a non-resident (or part year if that would have applied) return.

I don't know how much money is involved, but I do know that he probably can't straighten this one out on his own. He needs a tax professional to amend his OK tax return to non-resident status to get back the money he paid on his TX earnings.

I had misread the OP's post - somehow, I had him/her living in Oklahoma for part of the time. It's as Ldij stated. This one takes a person with some expertise to straighten out.