TomD8
Level 15

State tax filing

@kaizad20  If you are a Texas resident working remotely as an employee (you receive a W2 at year’s end) for a California company, as long as you never physically work in California your earnings are not subject to California state tax.

However, if you are working remotely as a sole proprietor (you receive a 1099-MISC at year’s end), for a California company, due to a recent court ruling your earnings are taxable by CA.

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