I am starting a job based in Colorado remotely from my CT home. They sent me a fed tax form and some info on 401K etc. I am confused and awaiting reply about state taxes. (person is out of office) Do I fill out a form for Ct or pay Colorado? I am hoping it's not both. This is an administrative job.
Thank you for any help while I wait.
@crr4000 if you are physically in CT, you want to have CT taxes withheld from your paycheck. There is no reason to have CO taxes withheld as you neither live there or work there.
How do you go about doing that? I know when I did a contracting job out of state while living home, I got a 1099 and had to know I'd be paying taxes and put money aside. This job isn't contracted so different.
Thank you!
Many people work for employers based in other states. You say you will be living and working in CT. The state you live and work in will be the state you pay income tax to. IF the CO employer can withhold CT tax from your paychecks then have them do that. If they cannot withhold CT tax, then you could make quarterly estimated payments to CT yourself to avoid a big tax bill owed to CT at tax time.
To add a bit to the previous answers:
If your employer cannot withhold CT taxes for you, then you must make quarterly estimated tax payments to CT. Scroll down to the "Estimated Tax Payments" section of this CT tax document for details:
https://portal.ct.gov/DRS/Individuals/Resident-Income-Tax/Tax-Information#EstTaxPay
If you are certain you will do no work within Colorado, then be sure your employer does not withhold CO income tax from your pay.