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Old 10-18-2007, 11:15 AM   #1
Irish mist
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The spending will never stop......the special interests have found a home in the school systems & municipal offices in the towns & villages all over the region. We have 50 million dollar schools going up, new police stations, new fire stations.....new this & that & everything.

Back in the day......folks in this region knew how to milk a buck.....now it's a free-for-all ! The political "Left" has figured out how to position themselves in money generating areas of our small towns & cities and gather enough votes to create small kingdoms where they drain the taxpayers to fund pensions & benefits that would make even the best paid managers in the private sector green with envy !
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Last edited by Irish mist; 02-27-2011 at 10:00 PM.
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Old 10-18-2007, 05:39 PM   #2
Rattlesnake Guy
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Question:
I keep getting conflicting answers to this question. I am hoping for a decisive answer here.

These are fictitious numbers for my example.

If Mass has an 8 percent income tax and NH has a 6 percent income tax, which of these is true if I work in Mass and live in NH.

A) Mass gets 8% and NH gets 0%
B) NH Gets 6% and Mass gets 2%
C) Other

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Old 10-19-2007, 08:35 AM   #3
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Default This is pretty close to the answer

I believe that None of the above is correct. The employee will fill out W-9 or the equivalent, to identify the withholding rate for each state. At the tax filing time all numbers will true up.

The math would be:

Employer state collects tax and resident state collects tax. However, if there is a reciprocity between the states then the resident state would allow a credit for tax "X" paid to other "non-res" state(s) for "Y" dollars of income.

In the event of non-reciprocity (I'm not positive here) I think you would allocate earnings by state so therefore, employer state would have earnings and the tax would be collected and subsequently reported via non-resident calculation. Resident state would have no income allocated and therefore no tax liability.
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