Question

Income is from Different State than Current State

Forum|Forum|6 years ago
August 5, 2019
1 reply
0 views

I am from Texas and have a Texas Driver's License with a permanent Texas address. My dad has a business in Texas and I am currently an employee at his business. I just moved to Alabama for school but I am still his employee because all my work is done online so I am not required to physically be in Texas to work there. I will move back to Texas after school and have no intention of getting an Alabama driver's license and have no intention of staying in Alabama after school. Now that I live in Alabama, do I have to file my taxes in Alabama and pay Alabama state income tax even though I have a permanent Texas address and work for a business in Texas? Also all my paychecks are deposited into my bank account in Texas and I do not have a bank account in Alabama.

T

TomD8

Employee

Here is Alabama's law: Nonresident individuals receiving taxable income from property owned or
business transacted (including wages for personal services) within Alabama are taxable
on such income from within Alabama. They should file Nonresident Individual Income
Tax Returns, Form 40NR, each year. https://revenue.alabama.gov/wp-content/uploads/2017/05/810-3-2-.01.pdf

In other words, the income you earn by working remotely from within Alabama is taxable by Alabama, even though you are not a resident of Alabama..

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