@mbizzles wrote:
I live in Wisconsin. I am a full time resident of Wisconsin. I work for a company that's in Utah. So my work is physically getting performed in Wisconsin.
1. Based on this, I should ONLY have Wisconsin income taxes withheld from my taxes, right?
Right, if you never work in Utah. But see #4 below.
@mbizzles wrote:
2. And when I file my 2023 taxes, I should only file with state of Wisconsin, right?
Right, if you never work in Utah. But see #4 below.
@mbizzles wrote:
3. I just started working here and they are withholding Utah taxes so I think for this year at least I will need to file a non-resident Utah state return to get that refunded in full, right?
Right, if you never work in Utah. But see #4 below. The problem you will have is that your W-2 will show Utah wages as well as Utah tax withheld. If you file a Utah nonresident return showing no Utah income, the Utah State Tax Commission is going to say that your Utah return is wrong, and you owe Utah tax, because you didn't report the Utah wages. You will have to try to convince them that it was a mistake, and that you did not work in Utah at all. A letter from your employer saying that it was a mistake would probably help. It would be better if your employer would refund the Utah tax to you, and correct their payroll records so that your W-2 will not show any Utah wages. If you do work in Utah in 2023, then it becomes a matter of just correcting the amount of Utah wages, which should be easier.
@mbizzles wrote:
But for 2024, assuming I (correctly) only have Wisconsin taxes withheld on my paychecks, I will only need to file with Wisconsin, right?
Right, if you never work in Utah. But see #4 below.
@mbizzles wrote:
4. Does the situation get any more complicated if I work a couple weeks of the year in Utah? 99% of the time I work from my home in Wisconsin but a couples times a year I will go out to Utah and work at the business in Utah.
Yes, it becomes more complicated (but not terribly so). You have to pay Utah tax on the income that you earn for working in Utah. Your employer will have to keep track of how many days you work in Utah, withhold Utah tax on that income, and report the Utah wages on your W-2. But since you live in Wisconsin, all your income is also subject Wisconsin tax, no matter where the income is from. You will have to file two state tax returns, a Utah nonresident tax return and a Wisconsin resident tax return. But you will get a credit on your Wisconsin tax return for part or all of the tax that you pay to Utah. Prepare your Utah nonresident tax return first, then your Wisconsin resident tax return, to make sure that the credit is calculated correctly.
