State Resident

[fasteddie577]

My son graduated from college in May of 2021 and started working at a new job and new state in June of 2021. For tax purposes does he file as a resident of the state he moved to in June?  Note: He lived in Texas all his life and he move to Delaware in June 2021. Thanks

[HelenC12 · Accepted solution]

He would file as a part-year resident of Delaware since he moved there June 2021. A Delaware Part-Year Resident is an individual that moves into or out of Delaware during the tax year. You can choose to file the Part-Year return on the resident or nonresident form, whichever is more beneficial to your son.

Please see How do I file if I moved to a different state last year? and How do I file a part-year state return?

Related information: What is my state residency status?

[fasteddie577]

I stated June 2021, but it was actually May 2021. Would that change anything? Thank you for your assistance. 

[ErnieS0]

No, residency will not change the tax computation @fasteddie577. But you should file a complete and accurate income tax return. Delaware prorates nonresident income and deductions according to the percentage of Delaware income ÷ total federal income, so months of residency do not affect the calculation.

If your son made half his total income in DE, his tax would be 50% of total tax as if he earned 100% of his income in DE. The same with deductions.

However, if he needed his return as proof of residency, for example, to get a loan or for some other purpose, it may cause an issue if his tax return lists a residency that differs from what else he says.

[fasteddie577]

Thank you.