{"id":1134,"date":"2020-03-09T08:09:37","date_gmt":"2020-03-09T08:09:37","guid":{"rendered":"https:\/\/www.wintersunexpert.com\/?p=1134"},"modified":"2021-01-10T13:53:10","modified_gmt":"2021-01-10T13:53:10","slug":"how-to-file-taxes-as-a-snowbird-in-north-america-the-essential-guide","status":"publish","type":"post","link":"https:\/\/www.wintersunexpert.com\/how-to-file-taxes-as-a-snowbird-in-north-america-the-essential-guide\/","title":{"rendered":"How To File Taxes As A Snowbird in North America: The Essential Guide"},"content":{"rendered":"\n

We humans also love the idea of fleeing from the spine chilling cold just like our feathered friends who migrate during this time. When the cold seems to catch-up with the everyday activities, those fortunate enough travel to a much warmer place and stay there until the unbearable cold passes away. These fortunate human beings are lovingly referred to as "Snowbirds" and the definite number of them is increasing drastically every year.<\/p>\n\n\n\n

How To File Taxes As A Snowbird in North America:<\/strong><\/p>\n\n\n\n

When you live in the US you first have to look at the 183-day rule. if you travel to a different state than the state you reside in, you won't have to pay any taxes for up to 183 days. If you want to stay longer it means you also have to pay in the state where you stay. The recommendation is to check your situation with a tax specialist.<\/strong><\/p>\n\n\n\n

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As traveling\naround and blending in a new environment has become easier than ever, people\nfrom the northern hemisphere tend to look for the warmth of the south and its\nmagnificent beaches. Yes, traveling thousands of miles is not an issue anymore.\nThese snowbirds even use RVs now to roam around the continent from the warmth\nof their own portable house. But of course,\nthere are many issues that bug the snowbirds\nwhile they're out of their home for months. The most difficult thing a snowbird\nhas to face is the huge taxes and bills that come along with the duration of\ntheir trip. Literally, every snowbird out there was baffled\nat the beginning by the tax policies and billing system during their stay. So,\nwhat's the best solution to the never-ending tax problem?<\/p>\n\n\n\n

According to experienced snowbirds and tax analysts, filing the tax isn't the main issue here. The main thing that brings in a huge tax and unknown bills is the lack of our knowledge concerning tax and billing policies around different states and countries. Doesn't matter if you're a Canadian immigrant or you live in a very cold state, the law isn't the same for everyone. There are little details that we always miss and this costs us our fortune. If you're a snowbird or just thinking about becoming one, you should know everything from the general views and policies regarding snowbirds to strictly followed laws in different states.<\/p>\n\n\n\n

To start with the\ndetails on taxes, first, it should be acknowledged that without the proper\nknowledge, a snowbird might face different issues. There are several issues\nthat have been filed throughout the history. Here's a\nsummary of the issues caused by the confusion of tax laws!<\/p>\n\n\n\n

Tax Range<\/strong><\/div><\/td>
States<\/strong><\/div><\/td>
Day Count for Statutory Residents<\/strong><\/div><\/td>
ResidencePolicy<\/strong><\/div><\/td><\/tr>
High<\/div><\/td>
New York, California<\/div><\/td>
183 days<\/div><\/td>
A person who meets at least one of the five factors of intent and spends more than 183 days in the state is considered a resident<\/div><\/td><\/tr>
Low<\/div><\/td>
Maryland, Pennsylvania, Virginia, West Virginia, District of Columbia<\/div><\/td>
183 days<\/div><\/td>
A person who spends more than 183 days must provide necessary documents for evaluation<\/div><\/td><\/tr>
None<\/div><\/td>
Florida<\/div><\/td>
None if permanent residence is in the state<\/div><\/td>
No documentation needed for out of state personnel<\/div><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Tax in the Different\nStates<\/strong><\/h2>\n\n\n\n

If you thought\nthat your income tax is billed according to your address of permanent residency\nand traveling period is excluded from it, you could not be more wrong. Though\ntax laws differ from state to state and city to city, all your residencies and\ntraveling periods are included in the annual tax with some simple rules.  Different states have different tax laws. <\/p>\n\n\n\n

Florida is a\ntax-free state, where the residents don't need\nto pay income tax for their residency or high-paying jobs. On the other hand,\nbusy states like California and New York are high taxes requiring states. It's\nnot that you have to pay a huge amount of tax just to stay a week or two in\nthese states. There are certain rules and criteria. More on that will be\ndiscussed later in this article.<\/p>\n\n\n\n

The 183-Days Rule<\/strong><\/strong><\/h2>\n\n\n\n

There's a much\nknown and popular rule called the 183-days rule throughout the US. The 183 days\nsums up to mostly six months. The day count defines that if you travel to a\ndifferent state than the state you reside in, you won't have to pay any taxes\nfor up to 183 days. That being said, the rule further creates many confusions\nas the day count can be quite tricky.<\/p>\n\n\n\n

The most common\nconfusion when it comes to the 183 days rule is how different states count this\ntime period. Is there math behind it or is it just simple count from the number\nof days stayed at the state? Frankly, there's definite math behind the day\ncount and it really is a little bit hysteric. Here are all the information\nsurrounding the confusion created by this law throughout the states!<\/p>\n\n\n\n

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