Tax & Accounting Blog

NRA Withholding and Reporting on Payments to Foreign Nationals – Part 4: Do the Same Tax Residency Rules Apply for State Withholding Tax Purposes?

1099, ONESOURCE, Tax Information Reporting, W-8 & W-9 Foreign Reporting, Withholding Management July 4, 2012

No, unless the state has specific rules defining residency that are tied to a recipient’s federal tax residency status. Lacking such special rules, residency for state tax purposes is determined for foreign nationals under the same rules that apply to U.S. citizens.