5 ms·

No, state personal income taxes are based on personal income you earn in the state. If you work in multiple states, you file in multiple states.

LinuxBender 6y ago
That depends on reciprocal tax agreements. [1] He will have to file in both states, but what he pays will depend on several factors. He will likely get tax credits in California, but I am not a tax attorney or a CPA. Elon could probably give some indication on how much he is saving if he is saving anything at all. [1] - https://www.optimataxrelief.com/live-work-pay-taxes/ https://www.optimataxrelief.com/live-work-pay-taxes/
- GavinMcG 6y ago
  Only 17 states have those, California and Texas don't, and even if they did they're limited to specific other states. It's simply not accurate to make the general statement that state personal income taxes are based on your domicile.
  - LinuxBender 6y ago
    It's even trickier than that. The company I work for is HQ in California, but we have employees based in another state. They pay taxes to that state, not California and there are no reciprocal agreements with that state.
    - GavinMcG 6y ago
      That's because they're working in that state. They're not paying California income tax because they're not working in California.
      - LinuxBender 6y ago
        I understand what you are saying, but it really does not conflict with what I am saying. Our employees in that other state are not working on physical things in that state. They ssh to servers in the U.S. and E.U. and do Zoom calls with people in other states and countries. In my mind, this is exactly what Elon would be doing from Texas. Zoom calls with people in other states and countries. So how are the two things different and why would he be paying CA taxes on his personal income?
        GavinMcG 6y ago
        The two things aren't different if Musk actually doesn't set foot in California, just like the employees of your company. I'd imagine the commenter that said he'd still have to pay income tax in California assumed that Musk would still need to be in California, to manage his companies there, and would have to pay California tax on a corresponding proportion of his income.
        LinuxBender 6y ago
        Even set foot might be ok. Our employees sometimes visit CA for a day or two. That said, we have had employees that were in NY for a month and NY did require them to file. This actually prompted an interesting internal conversation on slack and I learned a lot today.
        GavinMcG 6y ago
        Awesome to hear!

LinuxBender 6y ago

That depends on reciprocal tax agreements. [1] He will have to file in both states, but what he pays will depend on several factors. He will likely get tax credits in California, but I am not a tax attorney or a CPA. Elon could probably give some indication on how much he is saving if he is saving anything at all. [1] - https://www.optimataxrelief.com/live-work-pay-taxes/ https://www.optimataxrelief.com/live-work-pay-taxes/

GavinMcG 6y ago
Only 17 states have those, California and Texas don't, and even if they did they're limited to specific other states. It's simply not accurate to make the general statement that state personal income taxes are based on your domicile.
- LinuxBender 6y ago
  It's even trickier than that. The company I work for is HQ in California, but we have employees based in another state. They pay taxes to that state, not California and there are no reciprocal agreements with that state.
  - GavinMcG 6y ago
    That's because they're working in that state. They're not paying California income tax because they're not working in California.
    - LinuxBender 6y ago
      I understand what you are saying, but it really does not conflict with what I am saying. Our employees in that other state are not working on physical things in that state. They ssh to servers in the U.S. and E.U. and do Zoom calls with people in other states and countries. In my mind, this is exactly what Elon would be doing from Texas. Zoom calls with people in other states and countries. So how are the two things different and why would he be paying CA taxes on his personal income?
      - GavinMcG 6y ago
        The two things aren't different if Musk actually doesn't set foot in California, just like the employees of your company. I'd imagine the commenter that said he'd still have to pay income tax in California assumed that Musk would still need to be in California, to manage his companies there, and would have to pay California tax on a corresponding proportion of his income.
        LinuxBender 6y ago
        Even set foot might be ok. Our employees sometimes visit CA for a day or two. That said, we have had employees that were in NY for a month and NY did require them to file. This actually prompted an interesting internal conversation on slack and I learned a lot today.
        GavinMcG 6y ago
        Awesome to hear!