When it comes to filing taxes in the United States, we usually hear about federal income taxes and state income taxes, but we rarely hear about local income taxes. Compounding the problem is the fact that most tax preparation software and even some professional accountants rarely focus on local income taxes, which may lead to …
Category Archives: United States tax residency
Navigating the Maze: State-Level Tax Residency Rules and Mutual Tax Treaties
Tax residency is a concept that lies at the core of an individual’s tax obligations. For most people, it’s relatively straightforward: you reside in a particular place, and that place’s tax laws apply to your income. However, the nuances of tax residency become considerably more complex when you factor in multiple states and the influence …
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Determining US tax residency
The United States of America is one of the few countries in the world that treats all of its citizens independent of where they actually live as tax residents. This means that all citizens must report their worldwide income and pay federal income tax on that income even if they have not been to the …