Hello,
So I've been having an issue with an employer(previous now) with my taxes.
The company was based in Utah, but I am a resident of Texas.
It is a motor carrier company. I was one of their drivers.
The company per their CPA was withholding Utah taxes from my paycheck.
This happened for tax year 2021, and 2022.
I was told to simply mark myself as a non-resident and I would get the Utah taxes back.
So far I have not received anything back.
A couple of our other non-resident employees had this same issue.
Now the kicker is Texas does not have a state income tax.
So I should have received all taxes paid to Utah back in full due to the motor carrier employee taxes found in:
Utah Admin. Code R865-9I-14 - Requirement of Withholding Pursuant to Utah Code Ann. Sections 59-10-401, 59-10-402, and 59-10-403
Section D which states "Income tax treatment of rail carrier and motor carrier employees is governed by 49 U.S.C. Section 14503."
49 U.S.C. Section 14503 states:
(a) SINGLE STATE TAX WITHHOLDING.- (1) IN GENERAL.-No part of the compensation paid by a motor carrier providing transportation subject to jurisdiction under subchapter I of chapter 135 or by a motor private carrier to an employee who performs regularly assigned duties in 2 or more States as such an employee with respect to a motor vehicle shall be subject to the income tax laws of any State or subdivision of that State, other than the State or subdivision thereof of the employee's residence. (2) EMPLOYEE DEFINED.-In this subsection, the term "employee" has the meaning given such term in section 31132. (b) SPECIAL RULES.- (1) CALCULATION OF EARNINGS.-In this subsection, an employee is deemed to have earned more than 50 percent of pay in a State or subdivision of that State in which the time worked by the employee in the State or subdivision is more than 50 percent of the total time worked by the employee while employed during the calendar year.
In neither year did I complete 50 percent of my work in a single state including Utah.
I'm not sure what to do now.
I have contacted the employers CPA to try and get amended taxes stating that my income is not taxable within Utah according to the state and federal tax codes for motor carriers, but other employees that have tried this were met with resistance from the CPA claiming that the income was in fact taxable.
