Do I have to file a State Tax?

[AdviceFreeUser]

What is the name of your state (only U.S. law)? Texas.

I have been residing in Texas since 2003. Recently there was a lawsuit settlement and I was part of the process to receive about $66. I did receive a W-2 for this. I am filing this in my Federal return. Do I need to file a California State tax?

 

[LdiJ]

What is the name of your state (only U.S. law)? Texas.

I have been residing in Texas since 2003. Recently there was a lawsuit settlement and I was part of the process to receive about $66. I did receive a W-2 for this. I am filing this in my Federal return. Do I need to file a California State tax?

Did the W2 report CA income?

My "guess" is that 66.00 is not enough income to trigger the need to file a state tax return. However, my state recently enacted legislation that requires a state tax return at ANY level of income, even if no tax would be due. So I cannot be certain that other states haven't done the same. In fact, in my state there is a 10.00 a day, up to 50 days, penalty for not filing a state return. So, in my state, even though no tax would be due on 66.00 of income, if a return wasn't filed, the taxpayer could be subject to a 500.00 penalty.

 

[AdviceFreeUser]

Did the W2 report CA income?

My "guess" is that 66.00 is not enough income to trigger the need to file a state tax return. However, my state recently enacted legislation that requires a state tax return at ANY level of income, even if no tax would be due. So I cannot be certain that other states haven't done the same. In fact, in my state there is a 10.00 a day, up to 50 days, penalty for not filing a state return. So, in my state, even though no tax would be due on 66.00 of income, if a return wasn't filed, the taxpayer could be subject to a 500.00 penalty.

How can I tell if it was CA income? I do need to put this in my Federal return right? How can I find out for sure?

 

[LdiJ]

How can I tell if it was CA income? I do need to put this in my Federal return right? How can I find out for sure?

Again, the first step is what does the W2 say? If the W2 isn't coded for CA, its not CA income.

If it is coded for CA, then go to the website for the appropriate CA department for taxation and find out whether or not you are required to file a tax return for 66.00.

 

[AdviceFreeUser]

Again, the first step is what does the W2 say? If the W2 isn't coded for CA, its not CA income.

If it is coded for CA, then go to the website for the appropriate CA department for taxation and find out whether or not you are required to file a tax return for 66.00.

You mean CA SDI code?

 

[LdiJ]

You mean CA SDI code?

Look at line/box 15 of the W2. That is where it indicates a state code. If the income is coded for CA, it will say CA in that box. If its coded for another state it will have the other state's two letter code in that box.

If line 15 doesn't have CA in the box, then its not CA income.

 

[AdviceFreeUser]

Look at line/box 15 of the W2. That is where it indicates a state code. If the income is coded for CA, it will say CA in that box. If its coded for another state it will have the other state's two letter code in that box.

If line 15 doesn't have CA in the box, then its not CA income.

It does. The income is below $600 though.

 

[AdviceFreeUser]

I ended up filing anyways since it had 'CA' on there.