Taxes on the road

[von_jonah]

For those of you that may change to a different job in a different state a couple of times a year. How do you go about handling your taxes? Do you mostly work as contract labor and do them that way?

 

[Lostinspace]

If you work in another state than your residence you will probably have taxes to deal with in that state.&nbsp; When I thought I would be going TDY up to New Jersey as a 1099 contract worker I found out I would be paying New Jersey taxes on money made in that state.&nbsp; I think New York is the same.<br><br>I'm from Florida I'm not used to paying income taxes to the state.&nbsp; In some cases I think the reverse is true in some states.&nbsp; For instance if you reside in Alabama but work in Florida you pay income taxes to Alabama on wages made in Florida.<br><br>Choose you residence state that doesn't have an income tax.&nbsp; At least that will help a little.&nbsp; Check out the archives on states of no income tax.<br><br>Florida does not charge a sales tax on groceries or drugs either.&nbsp; They do charge a sales tax on ready to eat food though like a hamburger joint.&nbsp; Florida Sales tax is some of the lowest in 48 too.&nbsp; Total state and county/city tax in Chipley, a small town near me, is just 7%.&nbsp; Yet if I go 30 miles north to Dothan, sales tax is either 9% or 10%.&nbsp; I do buy gas up there though as it's 15 to 20 cents cheaper (lower state gas tax than Florida).&nbsp; For instance I bought <span style="text-decoration: underline;">Non</span> ethanol gas yesterday for $3.38 a gallon in Dothan. I try to run the non ethanol gas as much as possible, better for your fuel system and better gas mileage.&nbsp; My little Yamaha XT225 went from 72-74 mpg to 80 mpg when I switched to non-ethanol gas.<br><br>This is all I have on&nbsp;tax matters in my personal experience.<br><br>Hope this is helpful.

 

[von_jonah]

ookay thanks! And I so happen to live in Alabama haha. We pay taxes on everything :I&nbsp;

 

[Lostinspace]

Yep, Born and raised in Montgomery. Moved to Florida in '78 and never looked back. I feel your pain. Lived until 10 years ago in central Florida on the coast.

It is nice to live close enough, 8 miles to the state line, that I can take advantage of either location. You have much cheaper property taxes though. <img src="/images/boards/smilies/smile.gif" border="0" align="absmiddle">

 

[von_jonah]

That's cool! I've lived in and around Birmingham my whole life except for one year in Gulf Shores. If I can pull this off I'm planning on spending my winters around Florida. I don't like the cold. But I wanna see the places farther North in Spring and Summer. And Some in fall haha

 

[Lostinspace]

I&nbsp;forgot to mention one other advantage Florida has for residency; no vehicle inspections.&nbsp; Of course if you are stopped and have a cracked windshield you will be ticketed.<br><br>Back in the late 70's Florida had a yearly inspection, but it was only for safety; exhaust system, headlight alignment, brake/turnsignals.&nbsp; There was some sort of class action suite and inspections were done away with. Seems to have worked out alright.&nbsp; I have never heard or read about a vehicle accident due to bad safety equipment.&nbsp; And Florida has no air quality problems so the inspections for environmental equipment never got started.<br><br>Oh heads up for states with inspections; I would bet that before long they will be adding tire dates to the inspections.&nbsp; I've already heard that some tire stores will not work on tires that are older than 7-10 years.&nbsp; And as an old tire is a safety issue I bet it will be added to inspections.&nbsp; The safety issue is the tire can be beautiful on the outside but will fail from the inside, just like radiator hoses.&nbsp; The tires are not usually a problem on vans/cars/SUVs as they get driven enough the tires are usually worn out before they age out.&nbsp; But for trailers and RVs that don't get driven a lot, tires can be on the vehicle a long time.

 

[von_jonah]

That's the good part about Bama too. For right now anyway. I doubt I've ever had a car that could pass an inspection so that's good for me&nbsp;<img src="/images/boards/smilies/rofl.gif" class="emoticon bbc_img">