Home is where the heart is, or is it? As far as the tax man is concerned, where you choose to hang your hat, may not be home, or your “residence.” The concept of “domicile” can be particularly complex, especially if you’re a high net worth individual who spends time in, and receives income from, multiple state sources.
In the current issue of TAXPRO Journal, along with my colleague Jonathan D. Mariner, founder and president of TaxDay LLC, we discuss the complexities and pitfalls of multi-state residency. Using recent high profile court cases as examples, Jonathan and I delve into such topics as the “day test,” and other factors that are used to establish residency from a taxation standpoint. The article, entitled, Multi-State Residency – What You Need to Know, provides useful information for tax preparers, and anyone who earns income in more than one state.
TAXPRO Journal is a quarterly publication of the National Association of Tax Professionals. It provides in-depth information on a wide range of topics, with analysis on the issues affecting you tax-preparers and their clients.
Understanding how to define “residency” for income tax purposes, can be complex. If you would like to benefit from our expertise in these areas, or if you have further questions on this Advisory, do not hesitate to contact our Tax and Accounting specialists, or call us at 1-800-239-1474.