what is full-time college student residence

[xanuda349]

My child is a full-time college student out of state (DC). Does he considered a resident of DC or a resident of our home state? And does he need to file DC income tax in addition to the home state income tax?

thank you 

[JotikaT2]

It depends.

He is considered to be away from home temporarily while attending college.  Therefore, his home resident state would still be where he lived before attending college.  This would also be where he would file his taxes if he meet the filing threshold to file.

Do I need to file a return

The only time this could ever change is if he has the intent to make DC his permanent home.  Then he would be required to file a D.C. return.

He may also need to file a D.C. return if he had earnings in D.C. with D.C. withholdings.  He would file Form D-40B, Nonresident Request for Refund if he falls under this category.

Nonresident DC request for refund

[xanuda349]

Thank you @JotikaT2 

Am I correct in sayting that the only reason for this student to file the D-40B form is to request the refund of the tax withdrawn from the paycheck? In other words if he worked , but no taxes were withdrawn there is no need to file anything for DC?

Thank you 

[DianeC958]

It depends on the amount of income the student earned in DC.  If the student earned less than $12,200 (the Standard Deduction for DC) as Single and does not have a Federal Filing Requirement, then No you do not need to file a tax return that has no DC withholding.

If the student's income was greater than $12,200 (if single) and they are required to file and Federal tax return, then Yes, they need to file a DC tax return.

For the tax year 2019, the DC standard deduction is determined by your filing status as shown below. However, if you itemize deductions on the federal form Schedule A, you are not entitled to the standard deduction:

Filing Status / Standard Deduction:
A - Single or married/registered domestic partners filing separately $12,200
B - Head of Household $18,350
C - Married/registered domestic partners filing jointly, filing separately on the same return, and qualifying widow(er) with dependent child(ren)  $24,400
D - Dependent claimed by someone else, use the standard deduction worksheet for Dependent Filers

[Hal_Al]

Q.  If he worked , but no taxes were withdrawn there is no need to file anything for DC?

A. That is correct.

Generally, when a non resident has income in another state, he is required to file a non-resident return for the work state.  But, DC is an exception. DC has a reciprocal agreement with all other states.  Your student does have to report his DC income on his home state return (if he meets the filing threshold).

I believe the statement, "If the student's income was greater than $12,200 (if single) and they are required to file and Federal tax return, then Yes, they need to file a DC tax return", is not correct. .

[xanuda349A]

Does is mean that if a full-time student in DC is applying for a job on campus or outside of campus in DC,  he can mark himself as exempt from DC taxes withholding? Or does he need to mark himself as non-exempt and then file a D-4A certificate of nonresidency?

[Hal_Al]

He files a D-4A certificate of nonresidency, instead of a form D-4.  There is nowhere to mark exempt or non exempt on that form.

[xanuda349A]

Thank you .

There is a form which his employer wants him to fill out and there is an option to state that he is exempt

I don't know what this form is, but one of the options is

Yes, I am exempt from DC Income tax because : last year I did not owe any DC income tax and gad a right to a full refund of all DC income tax withheld from me; and this year I do not expect to own any DC income tax and expect a full refund of all DC income tax withheld from me ; and I qualify for exempt status on federal W-4 form).   

Everything here applies except for the last part (exempt status on federal W-4 form). Does this mean that this option is not applicable for my son?

Thank you