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New Member
posted Jun 17, 2024 6:58:21 AM

Do I have to pay Maryland taxes if I have a permanent address in Texas and live there?

I filed my taxes with a Texas address, but was still required to pay Maryland State Tax.  Why?

0 5 9032
5 Replies
Level 15
Jun 17, 2024 7:03:48 AM

Please explain clearly how MD is involved.  Did you work in MD---physically work in MD?   

Level 15
Jun 17, 2024 7:11:21 AM

And...

1) Are you in the military, with HOR as being MD, but posted in Texas for now?

2) or a college student in TX, and a dependent of parents who live in MD?

OR

3) moved to TX from MD during 2023?

New Member
Jun 17, 2024 7:24:22 AM

I lived in MD before joining the Army in 2018.  In August of 2023 I purchased a house in Texas and that is now my permanent residence.

New Member
Jun 17, 2024 7:26:04 AM

I am in Army and MD was my HOR.  I purchased a home in Texas in August of 2023, but when I changed my address on my tax forms, I still had to pay MD taxes?

Level 15
Jun 17, 2024 9:49:06 AM

@tammygowe 

 

In spite of buying a house in TX, you are still considered a legal resident of MD, and taxed by MD.....until such point in time that you change your State of Legal Residence  (SLR) to TX. with Army Personnel/HR and Finance....After which you will be considered a resident of TX for tax purposes.   

 

In the year you legally change you SLR to TX (AND the Army accepts it), you will have to file a Part-Year tax return for MD, declaring all your income before that date as being subject to MD taxation.  In the tax software, you will use TX as your SLR for that year onward, and no longer use your HOR for tax purposes.

 

In order to change your SLR to TX for tax purposes, you will need to file a form DD-2058 to the Army, showing that you have taken steps to change your SLR....registered to vote, changed banks to local branches, registered vehicles...etc...

 

Read the following, but also ask questions in your Unit's HR/Personnel and Finance staff, as there may be steps the following FAQ does not cover.

___________________________

What is my military state of residence? (intuit.com)

____________________________

IF YOU DID ALREADY FILE YOUR DD-2058 LAST AUGUST??:

 

Then, if the Army accepted it back then, you owe Part-Year MD taxes for 2023 on all your income before August (or whatever date the DD2058 was approved in 2023) and in the software you indicate that you were a TX resident at the end of 2023, and that you "Moved" from MD on the date your DD2058 was approved.