State Income Taxes in the US
Thread poster: burnsm
burnsm
English to Spanish
+ ...
Sep 28, 2004

I live in California, but work with agencies all over the US. My question is do I have to pay income tax in the states that the agencies are located. I had heard recently that New York requires this. Please let me know. Thanks!

[Subject edited by staff or moderator 2004-09-29 06:26]


Direct link Reply with quote
 

Henry Dotterer
Local time: 18:50
SITE FOUNDER
Sounds like no Sep 29, 2004

State income tax in New York and California are determined by residency. You would only owe New York State income tax if, for example, you spent 40% of the year there--in which case you would owe income tax on 40% of your overall income. California has the same type of rule. As far as I know, where the client is does not matter.

Direct link Reply with quote
 
teju  Identity Verified
Local time: 16:50
English to Spanish
+ ...
I don't think so Sep 29, 2004

I live in California, but work with agencies all over the US. My question is do I have to pay income tax in the states that the agencies are located. I had heard recently that New York requires this. Please let me know. Thanks!

I live in Texas, on the border with New Mexico. I'm a translator and a court interpreter. When I interpret in NM courts, I have to pay NM taxes for those jobs. But if I do a translation for anyone in another state, since I'm doing the work in Texas, it doesn't matter what state it goes to, because the job gets done in my state. That's what I've been doing for years, and was advised by my accountant.


Direct link Reply with quote
 
xxx00000000
English to French
+ ...
About New York Taxation Sep 29, 2004

If you have a job in New York, i.e. you receive a W-2 at the end of the year, then and only then, you have to pay New York taxes on your earnings. As a freelance translator, your place of business is your residence and therefore you pay the applicable income tax in your home State.

Best,
Esther

[Edited at 2004-09-29 23:14]


Direct link Reply with quote
 
burnsm
English to Spanish
+ ...
TOPIC STARTER
W-9's? Sep 29, 2004

Esther Pfeffer wrote:

If you have a job in New York, i.e. you receive a W-2 at the end of the year, then and only then, you have to pay New York taxes on your earnings. As a freelance translator, your place of business is your residence and therefore you pay the applicable income tax in your home State.

Best,
Esther

[Edited at 2004-09-29 23:14]


Being that I have had to fill out a W-9 form with some of those agencies in New York I'm sure I will be receiving a W-2 from them at the end of the year. So that means I will have to pay New York income tax as well? Please let me know.

Thanks,

Michael


Direct link Reply with quote
 
xxx00000000
English to French
+ ...
W-2 is not W-9 Sep 30, 2004

You will not receive a W-2 if you're not an employee using the company's facilities and material.

Some agencies - but by no means all - will send you a form labeled "Form 1099-MISC Miscellaneous Income". You don't have to pay New York taxes on that revenue, you just pay your state income tax.

The difference is easy to see: on a W-2 your employer states how much tax, Social Security, etc. has been taken off your paycheck. The 1099 just reports to the IRS how much money they have paid you. There is just one figure, the total for that year.

If you're not satisfied with this answer, just take an accountant or phone New York State Revenue.

Best,
Esther


Direct link Reply with quote
 


To report site rules violations or get help, contact a site moderator:


You can also contact site staff by submitting a support request »

State Income Taxes in the US

Advanced search







Anycount & Translation Office 3000
Translation Office 3000

Translation Office 3000 is an advanced accounting tool for freelance translators and small agencies. TO3000 easily and seamlessly integrates with the business life of professional freelance translators.

More info »
PDF Translation - the Easy Way
TransPDF converts your PDFs to XLIFF ready for professional translation.

TransPDF converts your PDFs to XLIFF ready for professional translation. It also puts your translations back into the PDF to make new PDFs. Quicker and more accurate than hand-editing PDF. Includes free use of Infix PDF Editor with your translated PDFs.

More info »



Forums
  • All of ProZ.com
  • Term search
  • Jobs
  • Forums