Question

Lived in CT, moved to PA, still work remotely for company in CT

Forum|Forum|4 years ago
March 9, 2022
1 reply
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I lived and worked in CT until July of 2021. In July, I moved to PA while continuing to work remotely at my job in CT.

First half of the year, all my income is liable to CT state income tax because I lived and worked in CT.

Second half of the year, when I worked remotely for a company in CT but lived (and did all the actual work) in PA, which state do I attribute this income to? Since CT is a Convenience of Employer state, do I still need to pay CT state income tax for the entire year, including when I lived in PA? Do I also have to pay PA state income tax on the income I made while living in PA? Is there any sort of credit or something that can be applied here so that I'm not being double taxed on the same income?

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R

RaifH

CT only applies the convenience of the employer rule when the nonresident's state is a convenience of the employer state.

It just so happens that PA ended their convenience rule on June 30, 2021.

Since you timed your move so perfectly, you will only have to pay CT income tax on the portion of your income while you were a resident there. Once you moved in July, all your income is PA sourced and will not be taxed by CT. If your employer withheld CT taxes for the entire year, you should expect to receive a refund from CT but will owe PA.