Do I Have to File a State Tax Return as a Non-Resident?

Pressed for time? Click to listen.
When you don't live in a state but earn income (non-resident), your activities may trigger a tax return. Each state has different rules and thresholds, so you must research the tax laws in their jurisdiction before performing work. Strict rules may apply whether it's a temporary or full-time job and even a one day gig.

State income tax

Sometimes it boils down to physical presence. If a state finds out you're earning income while you’re within their boundaries, they’ll want a cut of the action (e.g., speaker, athlete, actor, salesperson, trade show exhibitor). It can also occur when you're selling an asset in their territory. At the end of the year, you'd report the profit by filing a non-resident income tax return.

TIP: You also file a federal income tax return.

State and local sales tax

You may need to collect and remit sales tax for any applicable product or service sold while you’re in the state, then file a state sales tax return. Depending on the requirements, it may be a onetime filing or a monthly, quarterly, or annual form. You might also have to pay to open the sales tax account.

READ MORE: Do I Need to File a Tax Return?

Sign Up For Our Newsletter |

DISCLAIMER: Please consult with your accountant, attorney and financial advisor before implementing any information displayed on this website. DIY research does not replace the advice of a licensed professional who has thoroughly reviewed your file.