this post was submitted on 21 Aug 2024
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Work Reform

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[–] anubis119@lemmy.world 10 points 2 months ago (6 children)

So does he pay income taxes in Washington or California?

[–] QualifiedKitten@lemmy.world 1 points 2 months ago (3 children)

Well, there's no income tax in Washington, but I think technically you're supposed to pay based on where you physically work. So, if he's only working 3/5 days in Washington, that's only 60% of his salary that falls under Washington's rules.

[–] Fermion@feddit.nl 7 points 2 months ago* (last edited 2 months ago) (2 children)

That's not how it works. What matters is the state of your residency and the state that your paychecks come from. If you get paid in a state you don't reside in, you have to file in both, unless there's a reciprosity agreement. Many states will allow deductions for income tax paid in another state. So for example if the state your employer is in has a 4% rate, and the state you reside in has a 6% rate, then you'd end up paying 4% to state A and 2% to state B. It is possible to get double taxed depending on which states are involved.

So the CEO will at the very least have to file in California.

[–] anubis119@lemmy.world 1 points 2 months ago

Quick and informative. Thanks.

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