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-   -   New Jersey state income tax question/help please (on resident vs non-resident) (https://britishexpats.com/forum/usa-57/new-jersey-state-income-tax-question-help-please-resident-vs-non-resident-926710/)

FrankCastle Jul 26th 2019 1:17 am

New Jersey state income tax question/help please (on resident vs non-resident)
 
Hi guys,

Wondering if there's any New Jersey expats here who can help me confirm one way or the other if i'm a full year non-resident for the sake of New Jersey state income taxes.
I'm a UK citizen on an L1 visa until 2020 and have a contract that states i'll be working for the US branch of my company until 2020 at which point i'll return to work in the UK. I fully expect to return to the UK in 2020.
From the NJ state tax "website".....

"you are a nonresident if:
  • New Jersey was not your domicile, and you spent 183 days or less here; or
  • New Jersey was not your domicile, and you spent more than 183 days here, but you did not maintain a "permanent" home here."
My domicile remains the UK, i will spend more then 183 days in new jersey so then it comes to the definition of a permanent home. Because i am maintaining my home only to accomplish my medium term contract in the US (even though its ~ 2 years) I believe I'd be classed as a full year non-resident for my NJ state taxes. Does anyone have any prior experience as to longish stays in NJ but filing non-resident tax returns for state purposes?

Cheers!

ohh btw - also from the NJ website:
"A permanent home is a residence (a building or structure where a person can live) that you maintain permanently as your household, whether you own it or not. It can include a residence your spouse owns or leases. Your home, whether inside or outside New Jersey, is not permanent if you maintain it only during a temporary or limited period of time, no matter how long, for the accomplishment of a particular purpose (e.g., temporary job assignment). Likewise, a home used only for vacations is not a permanent home."

Because i

DallasMama Jul 26th 2019 4:55 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 
I’m confused by what you mean by a “longish stay” and NJ is “not your domicile “. Are you living and working in NJ or not???
If you are employed and working in the US and spend over 183 here then yes you would be considered a resident for tax purposes.

SanDiegogirl Jul 26th 2019 5:49 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 
If you are asking as to whether you pay NJ state income taxes; you are on an L-1 Visa. You are living in the US. You are an Alien Resident and would pass the substantial presence test.

So, yes, you would pay state taxes.

FrankCastle Jul 26th 2019 6:45 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 
Thanks for the replies - got it on the state taxes, fully onboard I'll be paying those.
My question was more around if anyone had any prior experience I could I could leverage off as being classed as a new Jersey resident vs a full year non resident.
But now Im wondering if my domicile has changed and that makes the question about the permanent home definition defunct :)

Thanks again for the comments.

DallasMama Jul 26th 2019 6:57 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 
I still don’t quite understand what you mean about not being a full time resident and the domicile question. I’ll give you an example...if you own a home in let’s say CA but your employer is located in NJ and you flight there and back for work, staying at a hotel and working in NJ for less than 183 days you wouldn’t be a resident but would pay your state taxes to CA.
If you are living and working in NJ- even if this is only until 2020- you absolutely need to pay NJ state taxes. Unless there is something you haven’t told us then yes you are a NJ resident for the time being.

Jerseygirl Jul 26th 2019 7:21 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 

Originally Posted by FrankCastle (Post 12715426)
Thanks for the replies - got it on the state taxes, fully onboard I'll be paying those.
My question was more around if anyone had any prior experience I could I could leverage off as being classed as a new Jersey resident vs a full year non resident.
But now Im wondering if my domicile has changed and that makes the question about the permanent home definition defunct :)

Thanks again for the comments.

Do you have similar questions about federal taxes too?

SanDiegogirl Jul 26th 2019 8:35 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 
Maybe you could work out your status and your definition of non resident from this website:

https://www.irs.gov/individuals/inte...ien-tax-status

christmasoompa Jul 26th 2019 9:17 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 
I’m confused too, you say ‘my domicile remains the UK’ and yet it seems you’ve been living in the US for well over a year and won’t be leaving until next year? So you’re certainly not resident or domiciled in the UK anymore? :confused:

Jerseygirl Jul 26th 2019 9:21 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 

Originally Posted by christmasoompa (Post 12715475)
I’m confused too, you say ‘my domicile remains the UK’ and yet it seems you’ve been living in the US for well over a year and won’t be leaving until next year? So you’re certainly not resident or domiciled in the UK anymore? :confused:

If I’ve read the opening post correctly...I hope he filed federal and state taxes for 2019 if he exceeded the requisite number if days.

SanDiegogirl Jul 26th 2019 9:34 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 
Think the OP has been reading this page from the NJ tax office whereby you can be non resident and still have to pay taxes :

https://www.state.nj.us/treasury/taxation/njit24.shtml

FrankCastle Jul 26th 2019 9:55 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 

Originally Posted by SanDiegogirl (Post 12715486)
Think the OP has been reading this page from the NJ tax office whereby you can be non resident and still have to pay taxes :

https://www.state.nj.us/treasury/taxation/njit24.shtml

Spot on! 🙂

Thanks for all the replies.

Totally on board with federal taxes and my requirement to pay NJ state tax for income earned here... But I was wondering how NJ state classes someone in my position as a resident or non resident (I just moved to NJ from NY state).

(And irs definition for resident and federal tax liability seems to be different to NJ definition of resident and therefore state tax liability on global income). Thanks again for help to clear it up ...(could just be me who's confused about federal vs state residency and tax :))

I thought for domicile you had to have a clear intent to relocate countries to actually change (and that just living somewhere even for 3 years wouldn't automatically change it for me).





DallasMama Jul 26th 2019 10:30 pm

Re: New Jersey state income tax question/help please (on resident vs non-residen
 
If you moved from NY to NJ you will file a tax return for both states. I have done this. So for the months you lived in NY you’ll pay NY state taxes, and for the other months NJ taxes. You can contact a tax account in NY/NJ to help you file your tax return.


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