Remote Work Tax Analyzer

Find out which states can tax your remote work income. This tool analyzes physical presence rules, residency rules, and convenience of employer rules to help you understand your tax obligations.

Your Remote Work Situation

This is where you are physically located when you work, not where your employer is.

Required = Your employer has no office in your state. Convenience = You choose to work remotely.

Providing your salary helps estimate potential tax impact. This is optional.

Get Your Tax Analysis

Fill out your remote work situation above to see which states may tax your income and how credits can help prevent double taxation.

How remote work taxes work

Remote work can create complex tax situations because states have different rules about when they can tax your income.

  • Physical presence rule: Most states tax income based on where you physically perform work. If you work from home in California for a New York company, California can tax that income.
  • Residency rule: Many states tax residents on all income, regardless of where it's earned. If you're a California resident, you pay California taxes on all income.
  • Convenience of employer rule: Some states (NY, CT, DE, NE, PA, AR, MA, NJ) can tax your income if you work remotely for your convenience, even if you never work in that state.
  • Reciprocity agreements: Some states have agreements that allow residents to pay tax only to their home state, even if they work in another state.

The analyzer checks all these rules to determine which states may tax you. Consult with a tax professional for advice specific to your situation.

Frequently Asked Questions

States can tax your income based on where you physically work (physical presence), where you're a resident (residency), or under convenience of employer rules. The analyzer checks all three scenarios to determine which states may tax you.

Some states (like New York, Connecticut, Delaware, Nebraska, Pennsylvania, Arkansas, Massachusetts, and New Jersey) can tax your income if you work remotely for your convenience (not because your employer requires it), even if you never physically work in that state. This rule is complex and fact-specific.

It depends. Generally, you pay taxes to the state where you physically work. However, if you're a resident of a state with income tax, you typically pay taxes to your home state on all income. Some states also have convenience of employer rules that can complicate this.

Reciprocity agreements allow residents of one state to pay income tax only to their home state, even if they work in another state. Not all states have these agreements, and they can change over time.

Not necessarily. If you work remotely from a state with income tax, you'll typically owe taxes to that state. Additionally, convenience of employer rules can result in taxation by your employer's state even if you never work there. The analyzer helps identify all potential tax obligations.

Most states offer tax credits to prevent double taxation. You'll typically file returns in all applicable states and claim credits for taxes paid to other states. Keep detailed records of where you work each day, and consult with a tax professional for guidance specific to your situation.

Related Tools

This tool provides educational estimates based on general tax rules. State tax laws are complex and can change. The convenience of employer rule, reciprocity agreements, and residency rules vary by state and can be fact-specific. This analysis is not a substitute for professional tax advice. Consult with a qualified tax professional or CPA for advice specific to your situation. Tax data is based on 2026 rules and should be verified with official state revenue departments.

For personalized advice, consult a qualified tax professional.