Let's say that I move to another country to work, and have no actual residence in the USA. I am still a USA citizen and plan to return eventually. The country I am considering has no income tax (Bermuda).
What is my status for state taxes? Can the last state I lived in tax my income earned overseas?
Let's say further that my wife, whose primary home is in Canada, rents an apartment in, say, Georgia, and that we meet there occasionally. I'm not talking about something hokey, legitimately "occasionally" like 1-2 weekends a month. Does that make me subject to Georgia state taxes?
States only tax residents. You need to make it clear that you have left and no plans to return to your former residence, e.g., you should sell your house and car. I expect people have horror stories about persuading a state that you've left.
As an expatriate, you are allowed to vote in Federal elections at the place in the U.S. where you were last a resident, but if you do that, be sure they understand you're voting as an expat, not as a resident who's temporarily abroad.
apartment in, say,
subject to Georgia
Poking around, I can't find Georgia's residency rules, but that works out to under 50 days a year. I don't know any place that would consider you a resident, but be sure your wife puts her Canadian address on the lease to make it clear this is not her primary residence. It wouldn't be a bad idea if she mailed the rent checks from Canada, even though it'd be easier to mail them from the US while she's there.
There is no reason to sell the house as you may want to rent it. As for the car, you can take it with you abroad, but if not then it's better to sell or give it away simply because of the holding costs (garage, insurance, registration). I think the state drivers license should be renounced and something done about the voter registration -- you ought to no longer vote in state and local elections. If residents get a homeowners exemption, you should relinquish that exemption. If for some reason you take courses at the state college (online for example), then relinquish the lower rate of state residents. Similarly for other benefits.
For CA there is
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G Guidelines for Determining Residency
The underlying theory of residency is that you are a resident of the place where you have the closest connections.
The following list shows some of the factors you can use to help determine your residency status. Since your residence is usually the place where you have the closest ties, you should compare your ties to California with your ties elsewhere. In using these factors, it is the strength of your ties, not just the number of ties, that determines your residency.
Factors to consider are as follows:
. Amount of time you spend in California versus amount of time you spend outside California.
. Location of your spouse/RDP and children.
. Location of your principal residence.
. State that issued your driver's license.
. State where your vehicles are registered.
. State in which you maintain your professional licenses.
. State in which you are registered to vote.
. Location of the banks where you maintain accounts.
. The origination point of your financial transactions.
. Location of your medical professionals and other healthcare providers (doctors, dentists etc.), accountants, and attorneys.
. Location of your social ties, such as your place of worship, professional associations, or social and country clubs of which you are a member.
. Location of your real property and investments.
. Permanence of your work assignments in California.
This is only a partial list of the factors to consider. Consider all the facts of your particular situation to determine your residency status.
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How does one do this? Is there a form?
No, but your rental income from GA is considered GA source income and is subject to GA tax.
Don't forget. US citizens are taxed on their worldwide income no matter where they live. So you will have to file a 1040. You will get a foreign tax credit and/or earned income exclusion for tax paid to the other country. And don't forget about the TDF form and the 8xxx IRS form to report your foreign accounts.
Because you hold rental property there does not mean you intend to return. Other facts and circumstances apply, as always.
But, that state will want returns filed and taxes paid on that rental income, and if it's short term rentals, like vacation homes, often times sales taxes (hotel/motel) apply as well as other fees and licenses at the local level.
By filling this out, one makes a simultaneous voter registration and absentee ballot election for the next federal election. You apply to the local election official who has jurisdiction over your last stateside place of residence.
The Federal Voting Assistance Program is administered by the military on behalf of servicemen and their families stationed overseas, civilians in foreign service of the State Department and other agencies, and Americans living temporarily or indefinitely out of the country.
in the USA. I am still a USA citizen and plan to return eventually. The country I am considering has no income tax (Bermuda).
income earned overseas?
apartment in, say, Georgia, and that we meet there occasionally. I'm not talking about something hokey, legitimately "occasionally" like 1-2 weekends a month. Does that make me subject to Georgia state taxes?
A lot of this stuff seems antiquated, like "Where you mail the check from" and "Where you maintain your bank accounts."
The ironic part is that my wife probably wants to claim the USA as her address for immigration purposes!
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