live and work in PDX, moving to WA? (Seattle, Vancouver: house, employment)

[KOCMOC]

Hi, right now I live and work in Portland, OR and am getting screwed by taxes over here. I'm thinking about moving to WA. Can someone give me an idea how to save on taxes? I'm making about 90K a year over here (software engineer). I'm getting hit with OR 9% tax. Can I find similar jobs in WA? I know Seattle has few IT jobs, but high housing expenses freak me out. Can I make a tax-saving move to Vancouver, WA? Will I pay less taxes if I establish a WA residency. Thanks

[Topaz]

You'll owe the 9% Oregon income tax if you work in Oregon whether you live in WA or OR.

The only way to avoid the OR income tax is to live AND work in WA.

[StealthRabbit]

Originally Posted by KOCMOC

... Can I find similar jobs in WA? ... Can I make a tax-saving move to Vancouver, WA? Will I pay less taxes if I establish a WA residency. Thanks

Yes, there are quite a few well paying IT jobs in Vanc / Camas. You will have to dig, as competition has been tough with many ex - HP / Tek / Intel employees on the hunt. So the availability is less but wages comparable.

You will pay less taxes in WA if working in WA (NO state income tax)

As mentioned...If you live in OR and work in WA you will still pay OR income taxes.

It was a good financial move for me to come to WA (~ 25 yrs ago), but not so good now that I have no income. (high property and business tax).

[bodozer]

Is it possible that you could telecommute from your home a few days a week with the position you have? If so, and you lived in WA then you would get a tax refund from OR on those days as you actually worked in WA. We are hoping to move up to Vancouver by year end but is dependent on us selling our home here. But I will be working for my current company telecommuting.

[KOCMOC]

no, i can't telecommute at all. so it sounds like even if i live in WA and fill out OR non-resident tax form, I still will be hit with 9% OR tax. is that right?

[bodozer]

Yep. The state employment tax is based on where you physically do work. Just like property tax is based on where you physically live. But you would be able to afford a better house most likely.