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My primary residence is in MD. I lost my job in MD in 2008 and collected MD unemployment and severence through Feb 2009. In March 2009 I started a new job in CT and have stayed with my parents in NY since then. My husband does not work (stays home with kids) and goes back and forth from MD to NY. My house has been on the market since Feb 2009. I had NY and CT 2009 taxes withheld from my paycheck since I thought I'd be buying a home in NY once my house sold at some point in 2009. Now it doesn't look like that will happen by the end of the year. I need to maintain my primary residence in MD for when I do sell my home, but I just received a letter saying MD does not have my home listed as owner occupied because i forwarded my mail to NY since my husband is going back and forth. I'm afraid I've made a mess of everything by forwarding my mail and withholding NY taxes. How can I fix this mess and how should i file my 2009 state taxes to maintain my MD primary residence?
Submitted: 70 days and 17 hours ago.
Category: Tax
Value: $30
Status: CLOSED
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Country/State/Province of question: MD
Posted by
Merlo
70 days and 17 hours ago.
Info Request
Hello MD,
What was the purpose of the letter you received from MD saying they do not show the MD home as being owner occupied?
70 days and 16 hours ago.
Reply
The letter was from the county Assessment office. I am assuming they received notice from the post office that I had forwarded my mail to my parent's address in NY. It say the department is requesting verification for the mailing address and occupancy status for my property location in MD and that the current status it has listed is Non Owner Occupied. The back of the form asks me to fill out current residence, months residing at this address each year, did you reside here july 1, street address for driver license, street address for voting, street address for income tax filing. I plan on filing this out all with my MD residence since my husband and children still live there and i'm only staying with my parents in NY while I work. Correct?
Accepted Answer
Hello again MD,
Since the letter you received was from the county where you home is located in MD, and not from the state of MD, then for tax pruposes, the state of MD would not consider you a nonresident at this point based on that letter. Correspondence that you receive from the county that relates to your property taxes is not correlated with state information on your residency for tax purposes.
I agree that you should still show MD as your residence on that form. You should perhaps attach an explanation that the home in MD is still the primary residence of your husband and children, and explain that the mail was only forwarded because of your temporary absence.
But for tax purposes, you can still file a return with the state of MD this year. You will also file a return with the state of CT as a non resident. Your first tax obligation will be to CT where your earned income was from. You will then report that same income on your MD return, but MD will allow you a credit for the tax already paid to CT, and therefore you will have no double taxation at the state level.
If you have never actually worked in NY but you were having NY taxes withheld, you will also have to file a non resident return with NY to request a refund of those taxes.
If this was helpful please press the Accept button. Positive feedback is also appreciated.
Thank you MD and let me know if you have more questions. I am happy to help you with whatever I can.
Expert:
Merlo
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Answered:
9/12/2009
Accountant
25+ years tax consulting. Specializing in returns for US citizens living abroad
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