state tax debate...

Discussion in 'Trucker Taxes and Truck Financing' started by magnificco, Aug 21, 2011.

  1. magnificco

    magnificco Bobtail Member

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    Aug 21, 2011
    Miami,FL
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    Hello, Im a linehaul driver out FL however my company is out of Illinois. I don't think i should be paying state taxes in Illinois if i don't live there n my residency has always been here in FL n we don't have state taxes deducted here. Anyone know how i can go about getting this corrected? My HR director says they have to but i spoke with a CPA n she says what there doing is illegal. I basically get taxed as a local driver n don't receive per diem either. Can anyone help? :biggrin_25516:
     
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  3. flood

    flood Road Train Member

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    Dec 25, 2010
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    most likie not much you can do about them taking out the tax but you just file a Illinois return and you will get it all back.

    i used to live in vancover, wa (no state tax) but worked in portland, or (state tax) so i had to do it every years.

    as to per-diem just take off the days X $59 on your fed return (just keep your logs to show you were on the road)
     
  4. Roadmedic

    Roadmedic Road Train Member

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    The reason you are having withholding from your check is because of the wording of the Illinois rules.

    It states as follows:

    http://tax.illinois.gov/businesses/taxinformation/payroll/index.htm

    Generally, you must withhold Illinois Income Tax if you are required to withhold (or have a voluntary agreement to withhold) federal income tax from payments you make for
    • employee compensation (i.e., wages and salaries) paid in Illinois,
    • gambling or lottery winnings in Illinois paid to an Illinois resident, or
    • unemployment paid to an Illinois resident who has asked to have Illinois taxes withheld.
    Since you are required to have federal tax withheld and the employer is in Illinois, the state requires them to withhold taxes.

    You will have to just file a non resident Illinois tax return.

    It is a pain, but there are several states with weird type laws as well.
     
  5. CondoCruiser

    CondoCruiser The Legend

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    Tennessee
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    magniffico, I went through the same thing living in TN and working out of IL.

    Two words, IL sucks! :)

    I tried the last two years to get my money back. Both times I still owed them like $6 and $17 claiming 0 and single. Even filing non-resident. You'd think one would get a return. Since there was no hope, I don't file with the greedy state. Truck drivers should be exempt since they don't make their money there. The employer is just based there. I gave them $700 and some last year.
     
  6. Roadmedic

    Roadmedic Road Train Member

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    You must be filing something wrong.

    I have never ran into the filing problem with clients.


    You think Illinois is bad, try some of the others.
     
  7. CondoCruiser

    CondoCruiser The Legend

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    Apr 18, 2010
    Tennessee
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    I went over the book several times. Even nonresidents have to pay like they live there.

    Unless I'm missing something? Enlighten me please. There's about $2K I could get back the last three years.

    I'll even pay you.
     
  8. Roadmedic

    Roadmedic Road Train Member

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    Does TN have a tax?
     
  9. CondoCruiser

    CondoCruiser The Legend

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    Tennessee
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    No, TN has no state income tax. Just a 9.75 sales tax.
     
  10. Roadmedic

    Roadmedic Road Train Member

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    Since I do the returns through computer, I just took a look at them on the web.

    First step is to complete the IL 1040. You will complete the form from the federal document.

    Then on line 12, you choose non resident box and fill in the figure from the schedule NR. I believe it to be zero if completed properly.

    With a base income of zero, there is no tax, and then the withholding would be refunded.
     
  11. Tazz

    Tazz Road Train Member

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    Lynchburg,Tn
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    Holy crud I knew Illinois blew but taxing non-residents??

    Just one more reason to have nothing to do with New York the western:biggrin_25523:
     
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