Accepted Answer

Dear jdunn,

 

You need to speak to your employer and ask why they are withholding OK taxes for you.

 

The issue is what is considered Oklahoma sourced income.

 

Nonresidents are required to file an Oklahoma income tax return when they receive gross income of at least $1,000 of Oklahoma source income.

 

A nonresident is taxed on the following sources of income:

• salaries, wages and commissions for work performed in Oklahoma.
• income from an unincorporated business activity conducted in Oklahoma. *
• distributive share from subchapter S corporations doing business in Oklahoma. *
• distributive share of the Oklahoma part of partnership income, gains, losses or deductions. *
• net rents and royalties from real and tangible personal property located in Oklahoma.
• gains from the sale or exchange of real property located in Oklahoma.
• income received from all sources of wagering, games of chance or any other winnings from sources within Oklahoma.

Generally, if your work was performed in Texas and you did not work in OK, then your income would be considered TX sourced.

 

You may have to have the employer file amended W-2's (W-2C's), and you may have to file ameneded returns. You can file a non-resident return showing non OK sourced earnings and you should get back all that was paid.

 

It would be better for you if you did not have to go through that drill. You should see your employer to amend your W-2's.

Expert:	Ed Johnson
Pos. Feedback:	99.2 %
Accepts:	5140
Answered:	2/16/2009

Tax Preparer

GPHR Cert; U.S. Treasury Tax Advocacy Panel appointee