04-28-2006, 05:26 AM
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 Re: state tax question (IL): Fulbright $ sinister wrote: - quote - > A question from my sister-in-law:
It depends.> For the tax year 2006 I will be living out of the United > States doing dissertation research. I am funded by a > Fulbright Hays dissertation grant. I know I have to pay > federal tax on the grant, but do I have to pay state tax? > The funding is sent from the federal government to my > univesity (in Illinois). The university disperses the money > to me. If she is an Illinois resident, and the grant is subject to federal income tax, then it is also subject to Illinois tax. If she is a nonresident, I don't believe the grant would be Illinois source income to her unless she performs some part of the activities for which the funding is granted in Illinois. Whether she is a resident or a nonresident of Illinois depends on all of the facts and circumstances. Illinois defines a resident as a person who is either (a) present in Illinois for a purpose that is not temporary or transitory, or (b) domiciled in Illinois and absent for a temporary or transitory purpose. If your SIL is domiciled in Illinois (i.e., that is her permanent home), and she will be absent only for the time it takes to complete the research for her dissertation, that may be a temporary or transitory purpose and she may remain an Illinois resident, taxable on all of her income, during her absence. Katie in San Diego << ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== > |
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#-1
04-02-2006, 02:45 AM
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| state tax question (IL): Fulbright $ A question from my sister-in-law: ------------- For the tax year 2006 I will be living out of the United States doing dissertation research. I am funded by a Fulbright Hays dissertation grant. I know I have to pay federal tax on the grant, but do I have to pay state tax? The funding is sent from the federal government to my univesity (in Illinois). The university disperses the money to me. << ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== > |
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| fulbright, question, state, tax |
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