topic Can I lease an apartment out of state (GA) while keep my permanent residence in MN? in Tax law changes

Can I lease an apartment out of state (GA) while keep my permanent residence in MN?

mraj — Tue, 06 Feb 2024 17:35:37 GMT

I own a house (primary residence) in Minnesota, however I travel to GA and I stay there at least 7~10 days, sometimes longer but not that often (in Hotels and Airbnb) and I was wondering, if signed an apartment lease how would that affect my state tax.

my Payroll and everything else is from Minnesota.

Re: Can I lease an apartment out of state (GA) while keep my permanent residence in MN?

xmasbaby0 — Tue, 06 Feb 2024 17:41:28 GMT

Your rent in GA would be a personal expense that has no effect on your federal tax return. Are you traveling to GA to work? Or for personal reasons?

Are you a W-2 employee?

W-2 employees cannot deduct job-related expenses on a federal return. Job-related expenses were eliminated as a federal deduction for W-2 employees by the tax laws that changed for 2018 and beyond. Your state tax laws might be different in AL, AR, CA, HI, MN, NY or PA.

If you live in a state that lets you deduct job-related expenses, the information will flow from your federal return to the state return, so enter it in Federal>Deductions and Credits>Employment Expenses>Job-Related Expenses

Re: Can I lease an apartment out of state (GA) while keep my permanent residence in MN?

mraj — Tue, 06 Feb 2024 17:56:44 GMT

I am a W-2 employee. And I travel to GA for work. And I was planning on keeping the rent as a personal expense, rather than using it as a deductible.

However, since my lease would have my SSN and they would report my expenses to Georgia State, should I be filing for Georgia state tax too? Or could I skip filing since I technically don’t stay for more than 10 days a month.

I wouldn’t be qualified as Georgia resident even if I have an apartment lease on my name, would I ?

Re: Can I lease an apartment out of state (GA) while keep my permanent residence in MN?

xmasbaby0 — Tue, 06 Feb 2024 18:01:09 GMT

If you are living and working in GA you may also be subject to GA state tax. I am not sure what the GA laws are pertaining to your part-time residence there.

Thoughts? @DoninGA ?

Re: Can I lease an apartment out of state (GA) while keep my permanent residence in MN?

mraj — Tue, 06 Feb 2024 18:13:29 GMT

My work / payroll is in MN.

The client I work with is in GA.

Once this project gets done (in a year) I would move on to the next client and no longer travel or stay in GA.

and Since my Payroll / Paycheck is from Minnesota, I wanted to see how part-time residency would effect my state tax.

Also would this affect my property tax on primary residence ?

I am aware buying a second property does affect but is it the same with leasing an apartment out of state?

Re: Can I lease an apartment out of state (GA) while keep my permanent residence in MN?

xmasbaby0 — Tue, 06 Feb 2024 18:18:26 GMT

Renting an apartment in GA will have no effect on the MN property tax for your primary home.

Question for you-----is your employer compensating you for the stays in hotels, etc.? Are you entering those expenses on an employee expense account?