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Working in KY, living in IN - is it normal to be taxed for both?
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Luck_ofaduck is
in
Kentucky
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Recently started a job in KY while living in IN and I am baffled that Iām being taxed by the state, both counties and the city I work in. Just wanna know if I fucked up on tax docs somewhere or if this is normal.
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Yup it's a pain at tax time - you'll have to file returns in both states. Indiana as resident, and Kentucky, Illinois, Michigan, or Ohio as non-resident. And depending on whether they withheld Indiana state income taxes, you'll owe Indiana and get a refund in the other for the full amount paid in - basically you'll rob Peter to pay Paul so don't get too excited when you see you're getting that check - because it's mostly, or entirely, going to Indiana.