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State tax residency while staying temporarily in a different state

I have recently got a job in California. I started my job remotely in Michigan from  Dec 2024 and the company asked me to join the California office in 2025.
 
I travelled to California on Jan 4th to start working in the office. I am temporarily staying in an Airbnb in California, while I will look for an apartment to rent in this area. My Michigan rental lease ends on Jan 30 for which I have already paid the rent for month of January and my plan is to get a new rental lease in CA before 01/17.
 
1. As I currently hold a lease in Michigan, would I be considered a Michigan resident while I stay temporarily in an Airbnb and until I sign a new lease in CA?
 
2. I could be potentially wrong but my understanding is that I will have to pay Michigan taxes during my temporary Airbnb stay. I will be paying California taxes from the date my new California lease starts or after my Michigan lease ends (01/30/2025), whichever is earlier. 
 
Could you please help me understand the state tax implications during my short term/temporary stay?
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3 Replies
BillM223
Employee Tax Expert

State tax residency while staying temporarily in a different state

As far as California is concerned, your wages are taxable in California starting January 4th. Your living accommodations do not matter - it is the fact that you are working in California.

 

Yes, this means that while you may be considered a Michigan resident for all of January, you are a tax resident of California for California purposes.

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State tax residency while staying temporarily in a different state

Does this mean I have to pay taxes to MI and CA both for my stay since Jan 4th?

DawnC
Employee Tax Expert

State tax residency while staying temporarily in a different state

Yes, there may be some overlap.  However, you can get a tax credit for taxes paid to another state on your resident return, so you will not be double-taxed.  

 

Filing Tax Returns for Multiple States   This link has instructions to handle your situation in TurboTax.   

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