- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Payroll Withholding taxes when remotely working in Massachusetts but we are an employer in CT
Hello,
We are an employer in CT and due to Covid most of our employees have been working from home. We have been creating various plans for them to come back and the majority still are working from home as the situation with Covid has been consistently changing. We have one employee that lives in Massachusetts and we are considering now March 2022 to let work from home as it is more convenient for her.
She was advised by her accountant that she needs to withheld taxes for both CT and Mas. If we decide now that she can permanently work from home, should I register now in Mas and start paying her state income taxes there and also unemployment, what can be the issue with Massachusetts? Also, I will need to stop deducting in CT or do I use double taxation since CT has the "convenience rule" but my payroll company is telling me to choose only one state? I want to make sure we do the right thing for the employee and for our organization we follow the rules of both states. Thank you in advance.