Does a truck driver pay State Withholding to the State his Employer is based out of and the State he mostly drives in even though he is a resident of a completely different State?
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Taxpayers generally owe tax where they work. Other factors such as reciprocal agreements may come into play. -
Many companies will not withhold out-of-state income tax. If his employer is withholding and reporting state tax to the state the employer is based in or has nexus, then the TP will have to file a Non-resident Return with that state. Whether he gets it back or not depends on that state's rules, but most allow credits or subtractions if he has to pay tax in his resident state on the same income.Comment
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