Taxes

Huntin_GI

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SOOOOO, when filing our taxes, do we show OK as our state of residence or do we use our Home of Record? The taxes being pulled from my check reflect Colorado (my predetermined facility) but others in my class are paying DC taxes. Any help is appreciated.
 

RH316

Trusted Contributor
Messages
109
SOOOOO, when filing our taxes, do we show OK as our state of residence or do we use our Home of Record? The taxes being pulled from my check reflect Colorado (my predetermined facility) but others in my class are paying DC taxes. Any help is appreciated.
While you were in OK, You file DC— you were technically TDY.
 

Foogy

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223
And for any random controller or trainee being affected by the shutdown, adjust your taxes accordingly for when/if it reopens or prepare to be raped...
 

RH316

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109
You can reconfirm with HR when the gov reopens but, That’s what I was told by HR when I called to ask them when I filed my taxes last year for 2017— while my home of record was NY when I was at the academy, my actual address never changed until I went to my permeanent duty station. My pay stubs showed the only taxes taken out while in OK were DC withholdings and federal... you are TDY. You can file for a return with DC. You should not be filing anything with OK unless you already lived in the state prior to or after the academy in the same year.

to add-- if i'm wrong, I guess Uncle Sam will be coming after me fora few clams... but they sure do owe me a hell of a lot more right now..:cry:
 

MJ

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Why would you call FAA HR for tax advice? You don't pay state taxes for a state you never worked in. This is not a unique circumstance.

Myth 4: I Have to Pay Income Taxes to the State Where My Employer Is Located
The location of your employer's corporate headquarters has no bearing on your state income taxes unless you actually performed work in that state. But if your employer accidentally withheld taxes for that state, you would have to file a nonresident tax return there to receive a refund.
Here's another link. I didn't go through it completely but it looked helpful. State Income Tax Returns and Part-year, Resident, Nonresident
 
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POINTOUT

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Messages
50
When I was at the academy I filed a return for DC and received a refund along with my return in the state I worked in before the academy
 

MJ

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When I was at the academy I filed a return for DC and received a refund along with my return in the state I worked in before the academy
Yeah, if they took DC taxes out of your check, you would file a return and get it back. @RH316 if that's what you meant in your first post, that part is correct.
 

RH316

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Messages
109
you are TDY working in OK waiting for your Permanent change of station. You did not live in OK unless you actually changed your address to OK. Unless you are TDY for more than 365 days in the state, you do not put OK anywhere when you file your taxes.

Federal Register :: Federal Travel Regulation; Temporary Duty (TDY) Travel Allowances (Taxes); Relocation Allowances (Taxes)
Read subpart F
@MJ I was referring to the HR people that handle your expenses at Mike Monroney. It’s one of the most common questions they receive.
 

MJ

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1,934
you are TDY working in OK waiting for your Permanent change of station. You did not live in OK unless you actually changed your address to OK. Unless you are TDY for more than 365 days in the state, you do not put OK anywhere when you file your taxes.

Federal Register :: Federal Travel Regulation; Temporary Duty (TDY) Travel Allowances (Taxes); Relocation Allowances (Taxes)
Read subpart F
@MJ I was referring to the HR people that handle your expenses at Mike Monroney. It’s one of the most common questions they receive.
That entire document is for federal taxes. It's irrelevant for state taxes.
Several comments noted the lack of GSA guidance on state and local taxes. This final rule is not imposing any new requirements on agencies regarding knowledge of state and local tax laws. The current Part 302-17 requires that the employees find and provide the applicable state and local marginal tax rates. In the past, GSA published state and Puerto Rican tax tables, but those tables were estimates. The current process will be more accurate if the actual rates are used instead of the GSA-produced tax tables, which are based on $25,000 income increments and therefore have inherent inaccuracies because different states have different tax brackets and rules. GSA is unaware of any agencies that currently have problems with local tax rules, including those for relocation, for their employees being paid through payroll and therefore should be able to understand the new tax processes related to relocation. The relationship between multiple states and localities as to tax payments are the employee's responsibility and would have to be known in order to certify their RITA claims. GSA is unaware as to which states or localities share reciprocity. Moreover, GSA does not certify the agreements between jurisdictions. Thus, there is no change from the regulations that are currently in place with regards to state and local taxes. Having GSA keep a record of reliable state and local tax guides as one commenter suggested is not a viable option due to staffing, expertise, and cost. For these reasons, GSA will not be able to do so.

Two comments suggesting having the WTA cover state and local taxes. While this is intriguing, it cannot be done because the tax burden is on the employee, and ultimately it is the employee's responsibility to pay, even if they are reimbursed for substantially all of the WTA through the process.

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What does my agency do if a state treats an expense as taxable even though it is nontaxable under the Federal IRC?

If one or more of the states where you have incurred tax liability for relocation expenses treats one or more relocation expenses as taxable, even though it (they) are nontaxable under Federal tax rules, you may be required to pay additional state income tax when you file tax returns with those states.

I don't know what this fixation on "TDY" is about, but again its completely irrelevant. One more link explaining state resident/nonresident taxes How Working Out-Of-State Affects Your Taxes
 

DL0509

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232
I'm not sure if it's different for prior experience direct to facility hires, but for OTS that go to OKC your "first duty station" is set as DC while you are training. When I did my state taxes I had to do one for DC and got all of those taxes refunded.
 
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Huntin_GI

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47
So I went through the steps and have paid out a total of 250 to CO even though I have never been there and in return I get 180 back... Sooo.... I am not entirely so if you are DC and getting it all back, I am jealous.
 

David Graham

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Messages
262
I'm doing my taxes now on TurboTax and since I'm a nonresident of DC aka the academy, it says I have to file by mail for that one as opposed to e-file since I don't live in DC. I assume that's standard procedure since it's not letting me choose any other option.
 

Sir_Unable

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FAA
Messages
96
Facility
ZTL Atlanta Center
I'm doing my taxes now on TurboTax and since I'm a nonresident of DC aka the academy, it says I have to file by mail for that one as opposed to e-file since I don't live in DC. I assume that's standard procedure since it's not letting me choose any other option.
Yes. DC won’t let you do it electronically unless you’re a resident. I had to do the same thing
 

David Graham

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Messages
262
Yes. DC won’t let you do it electronically unless you’re a resident. I had to do the same thing
I don't know what I'm doing wrong but this is a huge pain in the ass. It knows I have to fill out the D-40B form and mail it, but won't let me submit it because of it. I must be inputting something wrong.
 
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