Hypothetical situation. I have been hired to work for a Company located in California. I will work from my home and travel to client sites when needed. Will I be subject to CA state income tax because I work for a CA-based company? Or am I only subject to Texas' state income tax (none) because my residence is in TX and I work in TX about 80% of the time (other 20% is client visits) Anyone? Thanks in advance.
It should be Texas based since you live here and work here the majority of the time, I would think. A lot of people in Houston work for Hewlett Packard, but don't pay California taxes since they work here.
I have people with residence in Florida and Texas that work for companies I do payroll for here in Cincinnati. You won't have to have California tax withheld or pay it because your residency is a Texas address. You will however have to pay any locality taxes (edit: if applicable.. .I am not sure what the locality rules are in California) with out a chance to get it back and they will pay California Unemployment for you.
