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Do I owe state taxes for this?

Posted on 2/13/16 at 4:29 pm
Posted by LordSaintly
Member since Dec 2005
38882 posts
Posted on 2/13/16 at 4:29 pm
Background: I spent 10 weeks this summer in California as a contractor for the U.S. Navy. However, both of my sources of income were from companies that are in Alabama and Tennessee. In other words, no California company issued my paychecks.

Can anyone tell me if I owe taxes to the state of California?
Posted by Poodlebrain
Way Right of Rex
Member since Jan 2004
19860 posts
Posted on 2/13/16 at 4:49 pm to
Yes, you had California source income from the period you worked in California.
Posted by LordSaintly
Member since Dec 2005
38882 posts
Posted on 2/13/16 at 4:58 pm to
I should have clarified. My income from Alabama was for the contract work in California. I know that I owe taxes on this. No question.

However, my permanent job is in Tennessee. Do I owe taxes for ALL of my income during that period, or just the income earned for the contract work?
This post was edited on 2/13/16 at 4:59 pm
Posted by Poodlebrain
Way Right of Rex
Member since Jan 2004
19860 posts
Posted on 2/13/16 at 5:31 pm to
Perhaps you should clarify even more. Where did you reside in 2015? Where did you actually perform services? Those are what determine who you owe tax to not the location of the company that writes your paycheck.
Posted by LordSaintly
Member since Dec 2005
38882 posts
Posted on 2/13/16 at 5:37 pm to
quote:

Where did you reside in 2015? Where did you actually perform services?


I lived in California during summer, and Tennessee during the rest of the year. The independent contractor work was performed in California.
Posted by Poodlebrain
Way Right of Rex
Member since Jan 2004
19860 posts
Posted on 2/13/16 at 9:30 pm to
You should owe California tax on the income you earned while working in California. Tennessee doesn't have any individual income tax, so you will owe them nothing for any of the income you earned anywhere.
Posted by Teddy Ruxpin
Member since Oct 2006
39578 posts
Posted on 2/14/16 at 1:05 am to
Just curious from an academic standpoint.

How many companies/people just ignore this shite due to it being difficult or impossible to keep track of in a meaningful way? Or is there some rules that allow you to "ignore" it? Do governments largely not enforce "the small stuff?"

For example, it's one thing to lock down that an NBA player earned money on a set game day, but workers being within the borders for a few hours multiple times a year and other "transient" stuff seems crazy. Do you count the 3 hours of work you performed in Dallas strictly or what?

I'm sure I'm missing something

Eta: in the future this may be a thing for me and outside of counting when my plane lands and takes off I'd have no clue "how much" I worked somewhere.
This post was edited on 2/14/16 at 1:09 am
Posted by KosmoCramer
Member since Dec 2007
76518 posts
Posted on 2/14/16 at 1:08 am to
quote:

You should owe California tax on the income you earned while working in California.


I don't believe this is correct.

The way i unserstand it, You owe taxes in Cali on your Net Taxble income x (Number or days worked in Cali/Total Days Worked).

I could definitely be wrong but that's the way I interpret it.
Posted by Poodlebrain
Way Right of Rex
Member since Jan 2004
19860 posts
Posted on 2/14/16 at 8:47 am to
Look at Column E of Schedule CA. It asks for "income earned or received as a CA resident and income earned or received from CA sources as a nonresident". Since OP was a nonresident, the only CA source income he had was the salary or wages he earned for work performed in California. OP can claim prorated deductions and personal exemptions based on number of days in CA.
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