Question About Residency

[jmallard]

Hi,

I have a client who is a single elderly lady. Her husband (Retired USAF) passed away a couple of years ago and since they did not own a home in their home state - Washington - she decided to stay with one of her sons in Virginia.

She has one son in Washington, 2 sons in Texas and 1 son in Virginia. For the last three years, she lived one year with the son in Washington (2007) and the last two years she has been living with the son in Virginia (2008-present).

For the last two years she received her Social Security income statement at her son's house in Washington. She still has a checking account in Washington. But her 1099R from the Air Force for her husbands pension, the statement is addressed to her in Virginia.

She says she will eventually go back to Washington but apparently not in the near future.

I'm wondering if I should file Virginia Income Tax for her because of the Air Force retirement income? Now, fortunately she does not owe any income tax for 2009 in Virginia but I am thinking that if she has the Air Force retirement 1099R sent to her son in Washington, then there would not be a problem, no matter which son she lives with. Other two sons live in Texas (no state tax) so that wouldn't be a problem.

Not trying to do anything under the table, just wondering how to proceed for 2009 and future tax years.

As always, thanks in advance.

Jerry

[Gail in Virginia]

I don't know what we are talking about in terms of numbers, but for a single person over 65, Virginia's filing requirement (excluding social security) begins at $11,250.00. If Virginia finds out she is living here they will expect her to file in this state. Does she have to file a federal tax return? What address is she using for that? If it is Virginia, then the state will eventually get that information from the IRS and want to see a Virginia return if her income is above the filing requirement.

[jainen]

>>she will eventually go back to Washington but apparently not the near future<<

In my opinion, you are describing a person who is currently a resident of Virginia but is domiliced in Washington. I wouldn't worry too much about it, though--Washington state doesn't have an income tax either.

[Pacun]

Are you talking about Washington State or Washington, DC. If DC, file VA and don't worry about anything else.

[kcjenkins]

>>she will eventually go back to Washington but apparently not in the near future<<

In my opinion, you are describing a person who is currently a resident of Virginia but is domiliced in Washington. I wouldn't worry too much about it, though--Washington state doesn't have an income tax either.

I see it the reverse, myself. I see her as a resident of Washington state who is currently domiciled in VA. But if she will not owe anything if she files, I'd say go ahead and file just to avoid any question. Or have her mail go to Washington rather than VA.

[jmallard]

I see it the reverse, myself. I see her as a resident of Washington state who is currently domiciled in VA. But if she will not owe anything if she files, I'd say go ahead and file just to avoid any question. Or have her mail go to Washington rather than VA.

I thank everyone who responded.

I tend to agree with kcjenkins, but I am going to file for her in VA, just to avoid any questions.

Thanks again for responses.

I Love This Board

Jerry