Hi, I'm currently working for CA based company but am living in IL. I plan to relocate to CA later in the year. Currently my paycheck takes out a portion of my salary to pay CA income taxes, although I am not based in CA.
However, the DE-4 form is confusing as there's no option to exempt from withholding except 2 options:
- I am exempt from California withholding because I did not owe any federal/state income tax last year, AND I do not expect to owe any federal/state income tax this year. This exemption is good for one year.
- I certify under penalty of perjury that I am not subject to California withholding. I meet the conditions set forth under the Service Member Civil Relief Act, as amended by the Military Spouses Residency Relief Act and the Veterans Benefits and Transition Act of 2018.
In my case, should I select the first option to exempt from withholding?
