State Taxes

[beaconhill]

I was born in Colorado, moved to Canada when I was three years old, never realized until recently I had to file US taxes, and now as an adult want to become compliant with the IRS. I own one and have bought and sold two other revenue properties in Hawaii in the past three years, and I spend an average of a few months a year there. Do I have to file state taxes as well as federal tax returns? Is so, in what state: Colorado, where I was born and used to reside as a child, or Hawaii where I'm currently earning rental income?

Thanks very much for any advice.

[nelsona]

If you do not live in a particular state you are not liable for tax in that stae except for income generated in that state through employment or real property.

You are not considered to live in Hawaii, but you should have filed taxes in hawaii only for property income.

It is NEVER based on where you were born.

[beaconhill]

Thanks very much. I knew where I was born was not a consideration, I just thought I might have to file in the state I last resided. I know it might not make much sense to be required to file taxes in a state I last resided in when I was three years old, but either does having to file taxes in a country where I last resided when I was three years old. Thanks again.

[nelsona]

To be clearer, you are not responsible for reporting in the state you last resided in, if you no longer live there, nor generate any employment or business income there.

You are required to file with IRS, not because you at one time resided in US, but because you are a US citizen.

[beaconhill]

"If you do not live in a particular state you are not liable for tax in that state except for income generated in that state through employment or real property."

To further clarify, will Hawaii only tax me on income generated in Hawaii? Or will they, like the IRS, consider my worldwide income, ie. my income from Canada?

[nelsona]

Replace the words "particular state" with Hawaii and you have your answer/