ThomasM125
Expert Alumni

Self employed

To break Wisconsin residency, you would have to take steps to indicate that you are not away temporarily, meaning you do not intend to return there in the future. Changing your address, bank and diver's license to other states would be helpful. You can read this from the State of Wisconsin Department of Revenue to learn more about residency requirements there. 

 

You are still liable for self-employment tax even if you qualify for a foreign earned income exclusion (FEIE). You can deduct any expense from your business income that is ordinary or necessary to generate your service or sales income. You can deduct a housing allowance as part of your FEIE, but that will not affect your self-employment tax obligation.

 

Wisconsin does not allow the FEIE, so you would not be able to exclude that portion of your income if you were a resident of Wisconsin.

 

To establish residency in Florida, you would have to consider Florida as your primary home. That would entail living there for a substantial period of time in addition to having a driver's license, voter registration and other documentary evidence of that being your primary home.

 

You should file estimated taxes based on how much tax you expect to owe. Your estimated taxes should be paid in on a quarterly basis.

 

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