Job # 1: Lived & worked in Illinois through March 2016. Quit this job in March 2016. Company deducted & paid state taxes to Illinois. No problem here.
Job # 2: Moved to Michigan in April 2016, but got a job in Illinois in July 2016 (I traveled back and forth between home & work). My company deducted and paid state taxes to MICHIGAN and absolutely zero state taxes were deducted for Illinois.
Was this correct? I'm reading that they should be paying Illinois taxes via this tip in the State Tax Filing section:
To figure out how much income you earned while living or working in Illinois, you'll have to include income from up to three different situations:
- Income earned in Illinois while you were an Illinois resident
- Income earned outside of Illinois while you were an Illinois resident
- Income earned in Illinois while you lived outside of Illinois
If only one of the above applies to you, then the income you earned during that time period is your total income earned while living or working in Illinois. If two or three of the situations apply to you, you'll have to figure out how much income you earned during each situation and add the amounts together.
There are two exceptions to the rules above. If you worked in Illinois while you were a resident of Iowa, Kentucky, Michigan, or Wisconsin, you shouldn't include your Illinois wages. Also, you shouldn't include your Illinois wages if you were living in Illinois only to accompany your military service member spouse who was stationed there.
Example 2: Rita lived and worked in Illinois at the start of the year. She moved to Ohio in May, but she continued working at the same job in Illinois for the rest of the year. She earned $20,000 while living and working in Illinois and $30,000 while living in Ohio and working in Illinois. This means Rita earned $50,000 while living or working in Illinois.
I would really appreciate some guidance. I am like RITA in this example with one exception - I didn't keep my original Illinois job, I got a *new* Illinois job after moving to Michigan.
Totally lost here ... please help. :(
