Relocating to Lower Your Taxes
Since most people are working from home nowadays, it comes as no surprise that some of them decided to relocate to a tax-friendly state. However, what does it mean when referring to their tax returns?
Well…they might face a difficult tax situation next year. Relocating permanently to another state means that you’ll have to file a tax return in both states in 2021.
In other words, if you choose to stay for more than 6 months in another state, you will most likely see a tax obligation in your home state. It’s best to talk to a tax professional in order to understand these tax situations.
You might also like:
- How to Reduce Your Taxes in Retirement
- Are You in the Middle Class? Here Are the Most Tax-Friendly States!
- How Long Do I Need to Keep My Tax Records?
