Tax Considerations When Moving to Another State
This article will discuss some of the tax issues related to a person with a disability moving from one state to another.
Special Needs Alliance
It used to be that people lived in one place and never moved. Those days are gone, as people are much more mobile and, for various reasons, change domicile often. This article will discuss some of the tax issues related to a person with a disability moving from one state to another.
It must be noted that a person could have more than one residence, but only one domicile. The domicile is where a person lives on a permanent basis, where they vote, where they live the majority of the time, where they see their primary medical providers, where they may have a driver’s license or other identification card, and also where they file their income tax returns. A handful of states have no income tax on personal income, so, in those states, an individual will not need to file a state income tax return. However, that does not alleviate the need to file a federal personal income tax return to the extent the person does have taxable income, be it from employment, dividends, interest, distributions from a trust, pensions, retirement income, and the like.
About this Article: We hope you find this article informative, but it is not legal advice. You should consult your own attorney, who can review your specific situation and account for variations in state law and local practices. Laws and regulations are constantly changing, so the longer it has been since an article was written, the greater the likelihood that the article might be out of date. SNA members focus on this complex, evolving area of law. To locate a member in your state, visit Find an Attorney.
Special Needs Alliance
The Special Needs Alliance (SNA) is a national organization comprised of attorneys committed to the practice of disability and public benefits law. Individuals with disabilities, their families and their advisors rely on the SNA to connect them with nearby attorneys who focus their practices in the disability law arena. The SNA is an invitation-only organization. SNA membership is based on a combination of relevant legal experience in the disability and elder law fields, direct family experience with disability, active participation with national, state and local disability advocacy organizations, and professional reputation.