Buying a home in one state while living in another

[aneftp]

Originally Posted by annerk

Not quite.

My husband and I own one home, it's in Florida. I live here full time. He also rents a place in another state, as technically that is where his office is. He works there about 2/3 of the year, and telecommutes from here the remaining 1/3 of the time. He claims FL as his home, is registered to vote here, has his car registered here, and DL here. He has to keep track of what days he works in which state. He pays income tax on the days he works in the other state, but not the days he works in FL. He is a full employee--W-2.

Well I hope the company is fully reimbursing him for his travel and lodging expenses if he is a W-2. You would get killed on taxes if you tried to claim unreimbused W2 employee as a MISC expenses on your 1040 and get hit with the AMT because the IRS disallows W2 MISC deductions (those above deduction you claim above the 2% threshold).

[annerk]

Originally Posted by aneftp

Well I hope the company is fully reimbursing him for his travel and lodging expenses if he is a W-2. You would get killed on taxes if you tried to claim unreimbused W2 employee as a MISC expenses on your 1040 and get hit with the AMT because the IRS disallows W2 MISC deductions (those above deduction you claim above the 2% threshold).

It is OUR CHOICE to have this arrangement, there is no compensation. It's a cost that we pay out-of-pocket, and we would never try to claim it as unreimbursed employee expenses. For us it's just part of the monthly bills.

Last year we had $32 in misc. deductions. Somehow I don't think the IRS will have a problem with that.