Working from home for a company in a different state

[DeFo3281]

My husband got the go ahead to work remotely 100% of the time so we moved from Oregon to Washington to be near family. The company itself is located in Oregon and has taken OR income tax out every paycheck. We lived in WA November and December however where there is no income tax.  I can't figure out where to claim the excess money paid to Oregon as Washington state does not have tax returns so I can't claim excess money paid to another state. I have looked at OR tax code and can only find examples of people who work part time in the state and part time out. He works 0 days in the state of Oregon, all remote in Washington. Is it correct to adjust the wages on my Oregon return and deduct the wages made the two months we lived in WA in 2020?

[DavidD66 · Accepted solution]

Yes, you need to adjust the Oregon wages in the state return.  There is a section in the Oregon state return where you allocate your income.  You will enter only the income earned while living or working in Oregon.  See the screen shot below.

[elizabethmarie]

I haven't been able to find where to do this within the platform, can someone please help? Also the "live help" told me to file a WA tax return which doesn't exist so that was SUPER helpful. 

[MarilynG1]

If you live in Washington, but had Oregon tax taken out of your pay, file a Non-Resident Return to Oregon to get it refunded to you.

Click this link for more info on How to File a Non-Resident State Return.

If this doesn't apply to your situation, please give more details and will will try to help you further. 

[TomD8]

From page 14 of the Oregon Employers Guide:

"No Oregon withholding is required when a non-resident employee performs work outside of Oregon."

https://sos.oregon.gov/business/Documents/business-guides/employer-guide.pdf