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Old 01-12-2008, 01:16 AM
Alan
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Default Re: Live in Mass starting a new Job in Ct TAXES TAXES

dbranco[at]charter.net wrote:
- quote -

> On Jan 11, 3:58 pm, Rich Carreiro <rlc-n...[at]rlcarr.com> wrote:
> > dbra...[at]charter.net writes:
> > > How should I set up my W-4 witholdings for both states? Is it true
> > > that you get taxed in both states? So does that mean my takehome with
> > > be lower than working in Mass?

> > Yes, you get taxed by both states. However, MA will give dollar-for-dollar
> > credit for the tax paid to CT -- but not more than the MA tax would have
> > been on that income. In other words, while you are not double-taxed,
> > you'll effectively be taxed at the highest rate between the states (which
> > will probably be CT's rate, because MA has a flat 5.3% tax on wages).
> > > Because of MA giving a credit for income tax paid to CT, you should

> > fill out the CT equivalent of a W-4 to have CT withhold enough to
> > cover the CT tax. Then fill out the M-4 to have MA take out enough
> > to cover whatever MA tax won't be covered by the credit for the CT
> > tax.
> > > In other words, the bulk of your state tax withholdings will actually

> > likely go to CT, even though you are a MA resident.
> > > --

> > ich Carreiro rlc-n...[at]rlcarr.com
> > > --

> > << ------------------------------------------------------- > > > << The foregoing was not intended or written to be used, > > > << nor can it used, for the purpose of avoiding penalties > > > << that may be imposed upon the taxpayer. > > > << > > > << The Charter and the Guidelines for submitting posts > > > << to this newsgroup as well as our anti-spamming policy > > > << are atwww.asktax.org. > > > << Copyright (2007) - All rights reserved. > > > << ------------------------------------------------------- > > How do I find out how much I would need to withhold given my salary?

> Do I withold 6 just like ma?

The Constitution State has the most complex set of rules for tax
withholding in the Union. The following link at the CT Dept. of
Revenue Services contains the withholding form, tables and
explanations. Good luck!
http://www.ct.gov/drs/cwp/view.asp?a=1509&q=392906

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
  #2  
Old 01-11-2008, 09:33 PM
dbranco@charter.net
Guest
 
Posts: n/a
Default Re: Live in Mass starting a new Job in Ct TAXES TAXES

On Jan 11, 3:58 pm, Rich Carreiro <rlc-n...[at]rlcarr.com> wrote:
- quote -

> dbra...[at]charter.net writes:
> > How should I set up my W-4 witholdings for both states? Is it true
> > that you get taxed in both states? So does that mean my takehome with
> > be lower than working in Mass?

> Yes, you get taxed by both states. However, MA will give dollar-for-dollar
> credit for the tax paid to CT -- but not more than the MA tax would have
> been on that income. In other words, while you are not double-taxed,
> you'll effectively be taxed at the highest rate between the states (which
> will probably be CT's rate, because MA has a flat 5.3% tax on wages).
> Because of MA giving a credit for income tax paid to CT, you should
> fill out the CT equivalent of a W-4 to have CT withhold enough to
> cover the CT tax. Then fill out the M-4 to have MA take out enough
> to cover whatever MA tax won't be covered by the credit for the CT
> tax.
> In other words, the bulk of your state tax withholdings will actually
> likely go to CT, even though you are a MA resident.
> --
> ich Carreiro rlc-n...[at]rlcarr.com
> --
> << ------------------------------------------------------- > > << The foregoing was not intended or written to be used, > > << nor can it used, for the purpose of avoiding penalties > > << that may be imposed upon the taxpayer. > > << > > << The Charter and the Guidelines for submitting posts > > << to this newsgroup as well as our anti-spamming policy > > << are atwww.asktax.org. > > << Copyright (2007) - All rights reserved. > > << ------------------------------------------------------- >

How do I find out how much I would need to withhold given my salary?
Do I withold 6 just like ma?

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
  #1  
Old 01-11-2008, 07:58 PM
Rich Carreiro
Guest
 
Posts: n/a
Default Re: Live in Mass starting a new Job in Ct TAXES TAXES

dbranco[at]charter.net writes:

- quote -

> How should I set up my W-4 witholdings for both states? Is it true
> that you get taxed in both states? So does that mean my takehome with
> be lower than working in Mass?


Yes, you get taxed by both states. However, MA will give dollar-for-dollar
credit for the tax paid to CT -- but not more than the MA tax would have
been on that income. In other words, while you are not double-taxed,
you'll effectively be taxed at the highest rate between the states (which
will probably be CT's rate, because MA has a flat 5.3% tax on wages).

Because of MA giving a credit for income tax paid to CT, you should
fill out the CT equivalent of a W-4 to have CT withhold enough to
cover the CT tax. Then fill out the M-4 to have MA take out enough
to cover whatever MA tax won't be covered by the credit for the CT
tax.

In other words, the bulk of your state tax withholdings will actually
likely go to CT, even though you are a MA resident.

--
ich Carreiro rlc-news[at]rlcarr.com

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
 
Old 01-11-2008, 07:41 PM
Katie
Guest
 
Posts: n/a
Default Re: Live in Mass starting a new Job in Ct TAXES TAXES

On Jan 11, 9:30*am, dbra...[at]charter.net wrote:
- quote -

> How should I set up my W-4 witholdings for both states? * Is it true
> that you get taxed in both states? *So does that mean my takehome with
> be lower than working in Mass?
> I currently will be at 80,000 per year and in mass I withold on my W-4
> 6 dependents....
> Can someone help here, I have tried to read the tax laws and I am more
> confused that when I started..



As a resident of Massachusetts, you are subject to MA tax on all of
your income, from all sources. Your earnings in Connecticut are also
subject to Connecticut income tax. You will file as a resident of MA
and a nonresident of CT. MA will give you credit for the tax you pay
to CT on your CT earnings, limited to the proportion of your MA tax
liability that relates to that income. See Mass. Form 1, Schedule Z.

Your employer should withhold CT tax from your earnings, since MA
effectively cedes the tax to CT by allowing the credit.

Katie in San Diego

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
  #-1  
Old 01-11-2008, 04:30 PM
dbranco@charter.net
Guest
 
Posts: n/a
Default Live in Mass starting a new Job in Ct TAXES TAXES

How should I set up my W-4 witholdings for both states? Is it true
that you get taxed in both states? So does that mean my takehome with
be lower than working in Mass?

I currently will be at 80,000 per year and in mass I withold on my W-4
6 dependents....

Can someone help here, I have tried to read the tax laws and I am more
confused that when I started..

Thanks

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >
 

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