This course was created to provide information for tax professionals to properly complete the tax returns of states other than their home state. The main thrust of this course is to discuss how states look at residency in determining if a taxpayer should be treated as a resident for income tax purposes even if he or she doesn't live in the state. With many states having budget problems, the state revenue departments are looking at every possible means of increasing income. They are now looking at issues that never used to draw too much attention. This course will be an especially valuable reference guide for new tax preparers as this material is not taught in basic income tax courses.
Upon successful completion of this course, participants will be able to:
- Note the various state policies for taxing income and ways that states discover that a taxpayer has failed to file a return
- Specify the potential repercussions for failing to file a return in another state and cite the applicable late filing or failure to file penalties
- Note the resources that are available to reference for help in preparing an unfamiliar state return
- Specify different state filing requirements for part-year or nonresidents
- Note circumstances where a state filing status may differ from the federal return as well as the availability of certain filing statuses for state filing purposes
- Recognize the different state definitions for dependents and their subsequent tax treatment
- Define domicile, noting how the definition differs from residence for tax purposes, factors or acts that determine permanent domicile, and which states have the most comprehensive requirements
- Note how residency is defined and identify how states apply the residency rules to taxpayers domiciled in another state
- Determine the proper residency status when both spouses are living and working in different states
- Note the federal residency rules for military personnel and their spouses, including circumstances where federal rules override state rules
- Recognize residency situations in community property states, noting the tax treatment resulting from living in a community property state as well as the impact of reciprocal agreements
- Identify the advantages and disadvantages of working from home when the employer is in another state, noting which states believe income should be taxed in the employer's home state
- Note the starting point requirements for computing a state's taxable income, citing reasons why the state taxable income may differ from the federal taxable income
- Identify what income is taxable to the nonresident state, noting applicable adjustments to income resulting from deductions or credits
- Cite how to allocate income to each state depending on whether the taxpayer is a resident, part-year resident, or a nonresident
Choose Your Preferred Format
Get immediate access to a robust collection of learning and reference materials, allowing you to dive deep into the information you need. Our self-study materials are authored by top-quality, industry experts who focus on helping you grasp concepts quickly using real-life examples. Download your CPE to any device, and take it with you so you can learn when and wherever you want. Complete your CPE with an online exam, and enjoy instant grading with the option to print your certificate immediately upon passing.
Our self-study materials are authored by top-quality, industry experts. You’ll receive a bound notebook of all the course materials, shipped to you within one business day. In addition, you’ll also have full online access. Each self-study package includes a robust collection of learning and reference materials to help you cover the information efficiently and put it into practice immediately.
Experience high-quality instruction with our Self-Study Videos, available to you 24/7. With more than 80+ videos currently in the Western CPE Self-Study Video library, you can see and hear our expert instructors deliver the information you need in a dynamic way that allows you to immediately apply your learning. Unlike a live course or webcast, you can complete the course on your own time, playing and pausing as needed. Self-Study Videos allow you to complete your CPE requirements on your own time.
Back to top