Question

Out of state Resident paying State Taxes

Forum|Forum|2 years ago
May 29, 2024
1 reply
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I used to live in Colorado but moved to Texas 3 years ago. I still work for a Federal agency out of Colorado but work 100% remote in Texas. State taxes were taken out of my paycheck and am expected to file for state taxes. How can this be?

Not A Product Question

T

TomD8

Employee

If you're a non-resident of Colorado, and you never physically work in Colorado, then your work income is not subject to Colorado income tax.

If CO taxes were mistakenly withheld from your pay, then you must file a non-resident CO tax return, on which you show the withholding but declare zero CO income, in order to receive a full refund.

Finally, you should request your payroll department to cease withholding CO taxes.

**Answers are correct to the best of my ability but do not constitute tax or legal advice.