I am off orders now since March of 2009 and will be living in MA while working in CT. I want to know if I should change my residency to MA so I%26#039;m not paying NY tax anymore and how does it work when you work in CT for tax purposes? Thanks|||There is a procedure in the military (for military pay) to have, or change, your %26quot;official%26quot; state of residence.
If I remember correctly, NY has a somewhat favorable treatment of military pay (they don%26#039;t count it) while MA is sometimes called Taxachusetts.
If you are not getting military pay (is that what %26quot;off orders%26quot; means) then just change your residence, get a MA drivers license, etc.
But if your going to change your official military state of residence, there are a few states that don%26#039;t collect income tax at all (Florida, Texas, Alaska, Nevada etc.)|||You change your residency by changing the address on all your identification (driver%26#039;s lisc., credit cards, etc.) and by actually living in the new place. You don%26#039;t have to actually file anything unless the old state (NY) asks you for proof of your new residence.|||You do not have to do anything formal to change your residency for tax purposes. You residence is where you live (not including temporary residences, such as those of military personnel or college students), even if you do not file any paperwork.
However, you are required by other laws (not related to income taxes) to do the following:
1) Change the address on your driver%26#039;s license
2) Transfer your car insurance, title, registration, etc.
3) Obtain new license plates for your car
After replacing the license places, you should also scrape the NY registration and inspection stickers from your windshield.