Do I have to file Illinois State Income Tax while permanently living overseas as a federal employee?

[kj-campbell]

I am a DOD civilian employee (federal civil service) living (in a German village) and working on a US military base in Germany. We sold our home and own no property in the US. I am still paying Illinois state income tax despite moving out of state in February 2016. Am I obligated to pay Illinois state income tax past February 2016? If not, how do I navigate this properly?

[anthony_f_adduci]

How did this work for you?  I am in the same position as you and when I called the state they told me that by law I had to have a US State Address, and since that address was a relatives in Illinois, I have to pay full state taxes.  I'd double check this.

[taxexpert2016]

I dont think using a reference address in the US makes you their resident subject to tax. If that is true everyone would use a relative in a  no tax state such as Florida or Texas, Nevada, or another one of the nine states. I think  this guy is making a selfserving statement, there are test residency requirements that demostrates your connection to a state, just using a reference address alone is not it. If you dont live there for a whole or part of a year or you did not recieve income from within that state is pretty clear indication you are not their resident. Time to become resident of another state( on paper) while you are overseas LOL. Best of luck to you I am pretty confident that guy is not correct but verify with another source even Google has some good  info. remember state will angle to get any money specially if you are a high net worth individual. Dont use them as source, they are Biased in their favor.

[taxexpert2016]

you need to file the Illinois state tax return as "part year resident". your taxes will be proportional.
for 2017 make sure you tell your employer you are not an Illinois resident any longer so they wont hold state taxes from you and you wont have to file a state return. best of luck to you

[anthony_f_adduci]

How did this work for you?  I am in the same position as you and when I called the state they told me that by law I had to have a US State Address, and since that address was a relatives in Illinois, I have to pay full state taxes.  I'd double check this.