I currently live in TX and work in OK. I have a TX driver license but just got an OK tag for my truck. Being as I'm working in OK my employer is taking out OK income tax. Should they? When I deduct a portion of the expenses for my truck can I deduct a portion of the excise tax/tag I just paid?
My tax preparer is probably not gonna like me this year.
one day
ask Wesley Snipes he should know
In the beginning, the Universe was created. This has made a lot of people very angry and been widely regarded as a bad move.
if you work in a state then you are liable for their income tax after X number of days (varies by state). in consulting, they gross up your pay to pay for the extra state taxes. if you retain your primary residence in texas, you can write off just about everything while you are in oklahoma as long as you take a 3 week furlough every 49 weeks.Originally Posted by 1stTimeCaller
thanks. I will also be working in TX as well.
one day
fixed
it sounds like you are gonna need a top notch cpa to figure this out.
I'm no tax expert, but I'm pretty sure Oklahoma law says a person can't tag a veehickle in this state unless they are a resident of this Great State. Thus, unless possessed of a bona fied Oklahoma address or bearing a license to do business in Oklahoma, it's a "no-go" at the tag office.
P.O. boxes or putting down your Aunt Margaret's address in Chickasha don't count.
I understand that legislation was drafted partiallyto keep folks from TX (who don't pay state income taxes, but pay more for tags) from sneaking across the Red to deny the good People of texass their due in the form of vehickle registration fees.
Question 1: Under what pretenses then, did you avail yourself of an Oklahoma tag? Hmmmm? If you are an Oklahoma resident, then...
GET AN OKLAHOMA DRIVER LICENSE!
Question 2: Are you seeking a tax credit for tagging your truck? If so, that seems kinda wacky unless it is a commercial vehicle used exclusively for business purposes, although there may be some freaky proportional-izing possible.
Bottomline: a good tax lawyer &/or CPA could figger this out.
"Discourage litigation. Persuade your neighbors to compromise whenever they can. Point out to them how the nominal winner is often a real loser; in fees, expenses and waste of time." -- Abraham Lincoln, (1809-1865) Lawyer and President who saved the United States.
"Without opportunities on the part of the poor to obtain expert legal advice, it is idle to talk of equality before the law"-- Justice Chas. Evans Hughes
Remember, it's not illegal if you don't get caught.
The short answer is to move to Oklahoma or work only in Texas.
Our Texas guys were getting screwed because their checks were coming out of OKC & OK was making them pay income taxes on all the jobs they worked in OK.
At least thats what I was told by several of the Texas MWD's.
Guns & God clinger-to'er.
Our company has since created a north Texas office & all the Texans are working south of Red River.
Guns & God clinger-to'er.
You rang?
err...I thought this was about campaign fraud. Carry on.
KIDDING
That's what "the smartest guys in the room" at Enron thought too.
"Discourage litigation. Persuade your neighbors to compromise whenever they can. Point out to them how the nominal winner is often a real loser; in fees, expenses and waste of time." -- Abraham Lincoln, (1809-1865) Lawyer and President who saved the United States.
"Without opportunities on the part of the poor to obtain expert legal advice, it is idle to talk of equality before the law"-- Justice Chas. Evans Hughes
I have no idea.
Just thought I'd throw that out there.
I don't have anything to add to the tax discussion... but I will tell you that if you have OK tags and a TX license and you get busted for speeding in OK they'll also give you a 'no valid license' ticket. IIRC the one I got was for about $300.
We have always known that heedless self-interest was bad morals; we know now that it is bad economics. FDR.
Are you coming on to me?
the smartest thing you can do is declare yourself a texas resident, maintain an "address' and tag your car there
then you'll file your normal federal return....and then you'll file a "non-resident" return for the state of oklahoma on the income you ONLY earned in oklahoma
I hope not.
No problem, 1TC. Just edit a bunch of PDFs into whatever paperwork you need to get what you want.
For the past three or four years I've always had two states on my return, Oklahoma and wherever I was living. I have a small amount of income in OK every year.
Anyhoo, What about the wealthy people that Summer in the Hamptons and Winter in Florida? Do they have to switch driver licenes everry 6 months?
Why can't I do the same?
I guess if I drive slow and avoid roadblocks I should be good either way.
one day
Mom and step-dad winter in Scottsdale and summer up here. They make sure they stay 185 days out of the year here to keep Alaska residency.For the past three or four years I've always had two states on my return, Oklahoma and wherever I was living. I have a small amount of income in OK every year.
Anyhoo, What about the wealthy people that Summer in the Hamptons and Winter in Florida? Do they have to switch driver licenes everry 6 months?
Why can't I do the same?
I guess if I drive slow and avoid roadblocks I should be good either way.
"The choices we discern as having been made in the Constitutional Convention impose burdens on governmental proceses that often seem clumsy, inefficient, even unworkable, but those hard choices were consciously made by men who had lived under a form of government that permitted arbitrary governmental acts to go unchecked." INS v. Chadha, 462 U.S. 919 (1983) (Burger, C.J.)
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