Carl
Level 15

Deductions & credits

Another thing you need to be aware of here.

Work related expenses (such as a home office) for a W-2 employee are flat out not deductible. So you do not qualify to claim a home office and you can not claim any W-2 work related expenses. As of the 2018 tax year, W-2 work related expenses are no longer allowed.

If you are working remotely from another state and that state taxes personal income, you "may" be required to pay taxes to that state. Furthermore, your employer "may" be required to withhold taxes for that state too.

If the employer treats you like a contractor and issues you a 1099-MISC, then *YOU* are responsible for paying any and all taxes due to any and all taxing authorities empowered to impose tax on your income. As a 1099-MISC contractor *YOU* will also pay an additional 15.3% self-employment tax on top of your "regular" tax. This method *WILL* be costly for you.