FL residents working from home for a Massachusetts Employers

borinquenfs · ‎12-28-2022

I have two clients who are FL residents and officially are remote 100% remote employees. 1 employer stopped withholding Mass state taxes in September 2022 and the other employer is withholding state taxes. Do they file a Mass State Return as non-resident and pay taxes or they do not pay state taxes and all state taxes withheld is refunded to them? How does the Convenience of the Employer rule works in mass?

sjrcpa · ‎12-28-2022

"How does the Convenience of the Employer rule works in mass?"

I think that's moot. Isn't living and working in FL for the convenience of the employee?

The more I know the more I don’t know.

Terry53029 · ‎12-29-2022

As Sircpa said they are working in FL for their convenance, and as such would owe MA tax on MA source income. Here is link: https://www.mass.gov/guides/personal-income-tax-for-nonresidents

View solution in original post

rbynaker · ‎12-29-2022

I'm no MA expert but my read is that it's only MA source until 90 days after the COVID emergency was lifted (9/13/21). After that it's FL sourced since they are physically working in FL.

Terry53029 · ‎12-29-2022

After doing a little research I believe I will have to agree with rbynaker

borinquenfs · ‎01-02-2023

I will ask for the client not having MA state tax withheld to have MA State taxes withheld. Otherwise they will end up with a bill when they file. Thanks for your support.