TomD8
Level 15

State tax filing

@2017baja wrote:  "If you meet that threshold and your employer is in Illinois, you will owe Illinois taxes regardless of where you live." 

 

Not true.  For Illinois income taxes (as with other states), the issue is not where you live, it's where you actually work.

 

The work income of a non-resident of Illinois who never physically works within Illinois is not subject to Illinois income tax.  See Section 304 (a)(2) (B) of the Illinois Income Tax Act:

https://www.ilga.gov/legislation/ilcs/ilcs4.asp?DocName=003500050HArt%2E+3&ActID=577&ChapterID=8&Seq...

 

Otherwise, every nationwide employee of a corporation based in Chicago, such as Boeing or United Airlines, would be paying taxes to Illinois.

**Answers are correct to the best of my ability but do not constitute tax or legal advice.