I live in North Carolina but I work for a company in Missouri and earn my income from Missouri,?

Question

Do I have to pay North Carolina taxes and how do I know what I owe?
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Answer 1

You would probably have to pay non-resident income tax in Missouri. You would also have to file a resident income tax form in North Carolina and there should be a line to claim credit for taxes paid to other jurisdictions (in this case, Missouri) If the North Carolina tax rate is higher you may have to pay a small resident tax in North Carolina as well even though your income was from a Missouri source. The tax tables in the income tax forms from each state would give you the amounts of tax in each state.

I live in New Jersey and have income from New York City so I have the same situation.

Answer 2

It depends on the company as to how this is handled. A majority of the time you will have to pay Missouri state taxes and then file a state return with both Missouri and North Carolina at the end of the year - but if your employer is really nice they will apply for a North Carolina state ID number so you can claim NC and pay your taxes like normal

Answer 3

Since you are a resident of North Carolina, you will be taxed by North Carolina on your worldwide income regardless where you earned it. Since you work in Missouri, your income earned while in Missouri will be taxed by Missouri. You will have to fill out a Missouri Non-Resident tax return. Only income earned in Missouri will be taxed...nothing else. When you do a North Carolina tax return, it will be a Full-year Resident tax return. You will claim all your income, BUT you will get a credit on all taxes you paid to Missouri. Essentially, even though both states will tax you, the credit will all but make it as if only one state was taxing you (give or take). Don't forget to do a tax return for both states and don't forget to claim the credit.

Multiple state tax returns can get a little complicated. You may want to seek a tax professional whose computers and software are adept at this specific situation.

Hope this helps :)

Answer 4

Here is how state income tax works

1)You do your federal income tax first because federal will tax you on 100% of your income.
2)The state you work in which is Missouri will tax you only on the income you earned in that state. so do a Missouri state non resident income tax return.
3)The state you live in which is NC will tax you on the 100% of your income (usually base on the federal income tax information) MINUS a credit of tax you pay to the other state (Missouri).
So do your NC resident state return last.

go to the following web site for the state tax return.
http://www.taxadmin.org/fta/link/forms.html

Got it?

high five.

Answer 5

I don't know about NC tax laws, but I do know about GA. GA taxes everything from everywhere. But they do have ways to eliminate double-dipping. If this works like GA tax laws, NC should grant you a tax credit for what you have paid to Missouri. Ask an H&R Block tax prof. In fact, you just did. That's my answer, and I'm sticking to it.

Answer 6

particular, so might want to McCain. some thing can ensue as apparently the election is so tightly tied. maximum polls have aplus or minus margin of 5 factors. some thing round a 5 element lead through all and sundry skill they're surely tied

Answer 7

The state in which you reside gets your income tax.

Answer 8

yep, since it's all in the US, you are filing federal taxes, I guess the form will let you know how to file state taxes