Thursday, April 22, 2010

Work/Live In More Than One State


Hello,

I am a 26 year old male just moved to California from NYC to live with my girlfriend.

I am not on the lease and I am technically a NY state resident. I have started freelancing here in Santa Monica and was wondering if I can put the CA address on the w9 or must I put the NY address since I am not on the lease in CA.

If I put the NY address, must I pay state taxes in NY or CA for this gig if the company is located in CA?

This is quite confusing and I need to find a solution ASAP!

Thanks so much!
Francis


Dear Francis,

This is not as confusing as you think.

Either:
-- You lived and worked in NY.
-- Now you live and work in California.
-- In which case you are a part-year resident in each state.

Or:
-- You lived and worked in NY.
-- You are now in California, working in California, but have not moved all your stuff to California because you are testing the waters of living with your girlfriend.
-- In which case you are a NY resident with earnings in CA as a non-resident.

So:
-- Put your mailing address on your W-9.
-- You do not have to have your name on the lease. Your girlfriend may even pay all the rent.
-- If you have moved to CA then you no longer have a place in NY except perhaps a friend's place where you crash if need be.
-- Do not attempt a two-state indie tax return on your own. Hire a pro.

Here are other posts on multi-states taxes -- state / nonresident state .

Best,
June

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