Moved from New York to Chicago (Evanston, IL) on July 1st, Driving license is CA

[jackkgan]

I have the following situation:

1. I work remotely (since 2024) for my employer whose headquarters is in Washington DC. 
2. My driving license and mailing address for IRS is in CA (my parent's address. Mom helps me with taxes)
3. Moved to NY end of 2023 and rented apartment. Filed 2024 taxes as NY resident and NY domicile.
4. Moved to Chicago on July 1st 2025, renting apartment along with my girl friend. (we won't buy house)
5. Plan to live in IL for at least next 2.5 years. Not sure where I will land up after that. 
6. I continue to work remotely for the same employer. 

For 2025 year tax:

I think I may need to file 2 tax returns as partial resident of NY and partial resident of IL.

I guess I can make IL as my domicile which will also help lower my taxes as long as I live in IL.

Question:

I request your advice if I should do anything as I am thinking of making IL my domicile and For example:

1. Should I change my driving license /address with DMV? (Currently parent's address in CA)
2. Should I inform IRS of the new address of my rented apartment in IL ? (Currently parent's address in CA)
3. Should I do anything else?

Thank you so much in advance for your advice. 

[xmasbaby0 · Accepted solution]

Under IL law, if you have moved to IL, you have 90 days to obtain an IL drivers license

https://www.ilsos.gov/services/newresidentshowdoi.html

1.  If you do not live or work in CA, you should not use a CA address on your tax returns, nor do you need to pay state tax to CA.   Mom can "help" you with your tax returns but use your correct mailing address on your returns.

2.  As of July 2025 you have moved to IL and say you expect to live in the state for at least two years -maybe longer.   You need to comply with IL law and get an IL drivers license.

3.  When you prepare your 2025 return, it seems you lived in NY for part of the year and will live in IL for the remaining part of 2025, so you will need to prepare and file part-year returns for each of the states you lived and worked in.

MOVED OR NEED TO FILE PART-YEAR STATE

https://ttlc.intuit.com/questions/1901560-how-do-i-file-if-i-moved-to-a-different-state-last-year

https://ttlc.intuit.com/turbotax-support/en-us/help-article/printers-printing/file-part-year-state-r...

4.  The fact that you rent and are not buying a home is irrelevant.  You live and work in IL.

5.  If and when you move out of IL, your situation will change so---cross that bridge when you come to it.

6.  You are living and working in IL, even though your employer is in another state.   You are subject to IL state income tax while you live and work in IL.

When you prepare your federal tax return you will use your IL address on your Form 1040, so the IRS will know where to mail you a letter or a check.

If you own a vehicle, you will need to register it in IL.   And, of course, you will want to register to vote, etc. in IL.

[jackkgan]

Thank you so much xmasbaby0 . That information was super helpful!

I would appreciate your confirmation on whether I should inform IRS of change of address (by submitting form 8822). Thanks again!

 

[xmasbaby0]

You can do that if you want to:

https://www.irs.gov/faqs/irs-procedures/address-changes/address-changes