virginia: I have relocated to Virginia for my job in October of 2007. I guess you would call me a remote employee as I am the only employee for my company here in Virginia. There is not an office or any kind here in Virginia. My company did not take any Virginia income tax out on my W-2. They took Missouri income tax out. I am wondering if I need to file in Virginia as well as Missouri. Please Help....|||You live in VA and earn the income in VA so that's the only state that can tax you now that you've moved. Since your employer doesn't have a physical presence in VA they are not required to withhold VA taxes though. File a part-year MO return showing only the income you earned in MO. Then file a part year return in VA showing only the income you earned while living there. You'll probably have to use the MO refund to pay the VA taxes but MO electronic refunds are lightning quick -- I've had mine in as little as 4 days -- so that should not be a problem. Then tell your employer that you're no longer a MO resident and have them stop withholding MO taxes. You'll need to make quarterly estimated payments this year to VA unless your employer agrees to withhold VA taxes.|||Sounds like you've got it under control! Good job! TFTP Report Abuse |||yes|||Yes- you will need to file in both Virginia and Missouri. (as part year residents in each state). In the end, you will pay missouri taxes for the portion of time you lived there, and likewise in Virginia. For 2008, if they continue to withhold MO taxes, you would have to file there as a nonresident to get your money back and file in VA as a resident. They are supposed to withhold based on the state in which you WORK, not where you live. Sounds like you work in VA and that they should be withholding there. Many times though, especially for smaller companies, they will look for ways to NOT withhold VA taxes for you, since that would mean that your company would also have to file employer AND INCOME taxes in Virginia as well! As long as you don't have a ton of other tax issues (investments, trusts, own your own business, etc) you should be OK to buy one of the software products, (turbo tax, tax cut, etc) and pay the extra to download a second state.|||both states, yes part year resident in each, if there's a separate form for part year [some states have]. fortunately, most states allow a credit for taxes paid to another state, so you'll not pay state taxes twice. hint: do Missouri first -- it'll be easier that way, i believe