filing state taxes for work study (out of state)

<p>Very confused about my kids' work study W2s. One is in NY, his W2 did not take out any NY state taxes (and is under $1000). The other is in PA and did have state and local taxes taken out (but only made about $300, and we weren't planning on filing ANY taxes for her). Does my NY kid need to file an non-resident state tax form? Didn't realize this would be so confusing.</p>

<p>You need to check each state’s policy regarding filing…or not. One of our kids worked in a state where they were required to file state taxes if ANY state withholding was taken out. So…the kid completed a 1040EZ, and filed in that state as a non-resident.</p>

<p>Just looked it up, in chapter 4 of the PA Personal Income Tax Guide (PIT):</p>

<p>Every resident, part-year resident or nonresident individual earning, receiving and
realizing more than $33 in gross Pennsylvania-taxable income for their taxable year
beginning on or after Jan. 1, 2004 ($35 for taxable years beginning on or after Jan. 1,
1993 and ending Dec. 31, 2003), even if no tax is due…</p>

<p>So, yes, she has to file a return.</p>

<p>thumper1 is correct, many states require a return, and students shouldn’t assume the don’t have to file one just because they don’t owe any taxes. It would be good idea for them to find out before they start working, and to fill out the appropriate w4 forms (or whatever other forms the state uses) to withhold appropriately. Don’t assume they won’t owe any taxes with a very low income, because they might not be true as a non-resident.</p>

<p>so are they considered non-residents or part-time residents?</p>

<p>Generally, dependent college students are considered full-year residents of their home state, and non-residents of all other states.</p>

<p>We are NYS residents. My son works in NY during the summer and has work study earnings in Louisiana during the school year. For both states we have to fill out the nonresident and part-year resident income tax return (For NY its the IT-203). This form determines what percentage of your income was earned in NY. The first year it seemed like a pain for the measely 300-400 dollars he earned out of state, but now we’ve gotten the hang of it.</p>

<p>Be careful having him file as a Luisiana resident, rather than a full year NY resident.If he is a LA resident while at school, then he is not “temporarily absent” from your home during those months. Is he living in NY for more than half the year? If not, he is no longer your qualifying child. Filing as a part-year resident in NY may result in lower taxes for him, but it could come back to bite you, if you are claiming him as a dependent.</p>

<p>the good news is that income tax they paid for where they worked it usually counted toward what they owe to their home state (where they go to college is not considered home state unless parents live there too)</p>

<p>the worst for us ¶ was the year my son was in school in NY where he had a work study job, but also worked in Boston during the summer. Had to file income taxes for 3 states. what a pain!</p>