New York Court Says Telecommuters Must Pay NY Tax
hal9000(jr) writes "The Boston Globe is running this
story on an out-of-state programmer working for a New York company who had to pay state taxes. '"New York has the right to tax 100% of a nonresident employee's income derived from New York sources," according to
the 4-3 decision by Court of Appeals. The court relied on a fairness rule called the "convenience of the employer" under law that says a worker's income is taxable if he chooses to live outside the state, as opposed to if he or
she was transferred there.' The dissenting opinion: 'Judge Robert Smith argued that the basis of the majority's decision that all income is taxable is "that the commissioner says it is ... The majority cites no authority at all, and offers no persuasive reason, in support of this new interpretation."'"
Corps that incorporate in Delaware still have to pay all city,county,special district, & state property and use taxes.
That's not taxation without representation since he is free to move to New York.
I disagree with this decision... but only because it's telecommuting. If he physically commuted into the state then he's getting substantial services from the state (or city) without compensating them. Police and fire protection, roads, etc. Paying double taxes and not having a voice in who runs the government sucks but, again, he could always choose to live and work in the same state.
In contrast somebody who is telecommuting does not get any services from the state or city. No police or fire protection, no road use, nada. If he makes occasional trips to the offices, he's paying for these services in hotel room and car rental taxes. If this is taxable, then you could make an argument that he owes taxes for every state his network connection goes through.
For every complex problem there is an answer that is clear, simple, and wrong. -- H L Mencken
Just about all alternatives I can think of where I could maintain my standard of living have other governmental problems.
If it sucks everywhere, why not apply pistol to temple and permanently ease your horrible suffering?
"I don't know, therefore Aliens" Wafflebox1
People who apparently don't like the United States and its Bill of Rights, did vote--that's the problem...
As long as they continue to lose like in the last election, it's not too bad.