State Taxes Back Home

[scott h]

Hey guys, checking all the boxes prior to the move. One of the last ones is California State Income tax. Now I love California, born and raised here. But i really don't want to pay for pot holes that i will not run over.

Question: For those who have gone before, how did you get yourself declared 'stateless' person so as not to pay state income tax.

I really dont want to use a mail forwarding outfit, my sister will forward our mail, so I guess we will still have a california address.

thanks guys

[Jake]

Hey guys, checking all the boxes prior to the move. One of the last ones is California State Income tax. Now I love California, born and raised here. But i really don't want to pay for pot holes that i will not run over.

Question: For those who have gone before, how did you get yourself declared 'stateless' person so as not to pay state income tax.

I really dont want to use a mail forwarding outfit, my sister will forward our mail, so I guess we will still have a california address.

thanks guys

Outstanding question soldier! I will be in the same predicament if or when I decide to permanently leave the state of California.

I suppose one could declare or change your tax domicile to another state like Nevada, where I believe there are no state taxes.

And therefore not require to file a return each year, unless of course you expect a refund.

As far as the federal income tax while living abroad and collecting SS benefits (retirement, SSI or SSDI) or other pension, my

understanding is that you still need to file annually, even though you may not owe anything to uncle Sam. I know this has been

hashed out on other forum discussions, but on behalf of Scott and myself, perhaps someone residing in PI already can shed

some light. At least reduce the confusion of taxation.

Taxed out -- Jake

[OnMyWay]

Hey guys, checking all the boxes prior to the move. One of the last ones is California State Income tax. Now I love California, born and raised here. But i really don't want to pay for pot holes that i will not run over.

Question: For those who have gone before, how did you get yourself declared 'stateless' person so as not to pay state income tax.

I really dont want to use a mail forwarding outfit, my sister will forward our mail, so I guess we will still have a california address.

thanks guys

I would be interested if there are options, but I doubt that there are. Even though you have someplace to get your mail, it might be cost effective to pay for a mailbox in one of the 4 no income tax states, and register to vote there. I found a little information on an expat web site:

Avoiding U.S. State Taxes

If you have no income or maintain a permanent residence in a state in the U.S., you do not have to file any state income tax return in your previous residence state. Some of the criteria that a state looks at to determine if you are a resident for state income tax purposes includes your driver license, if you register to vote there, if you maintain an address there, the location of your bank accounts, if you own or rent real property there, the license plates on your cars, and if you still receive utility bills in that state. There are many other factors used by state taxing agencies to determine if you are a resident, but they are too numerous to mention here. You must be careful to reduce or eliminate all indices of residency or your previous state of residency in the U.S. will come after you for state income taxes. California is especially active in attempting to tax individuals who have left to live overseas, by initiating a claim that they are still actually California residents because they intend to return to California after their stay abroad terminates. You must carefully review and structure you factual situation in order to avoid California’s tentacles if you were previously a resident there.

You do have to pay taxes in a state if you receive rental income there or receive income from a trade or business located there, even if you are no longer a resident. Investment income such as from stock sales, dividends, and interest are not subject to state tax unless you live there. Pensions are no longer taxable in the state in which you earned the pension if you permanently leave that state.

[Okieboy]

if you are not required to file in the USA you are not required to file anywhere else, if you do not have to file federal you do not have to file state in Oklahoma