[BerkMTB]

I am considering living in VT and commuting to MA during the week. We already have a condo in VT and my wife and kids would be there full time and the kids would be in school. May or may not take an apartment in Boston.

I am wondering how I would be taxed. I am thinking that if I am spending more that 183 nights in MA and working in MA I would be taxed in MA and I would not owe VT income tax.

Does anyone have any experience on this front?

By the way I already commute 2 1/2 hours from the Berkshires to Boston so I am not worried about the lifestyle. Its OK for a few more years until I retire and then would live in VT full time.

[GeoffD]

You would file Massachusetts non-resident personal income tax and pay their 5.15% flat tax. You would then file Vermont state income taxes and pay Vermont the difference if there is any.

The Vermont married filing status tax brackets are:

• 3.55 percent on the first $61,600 of taxable income.
• 6.8 percent on taxable income between $61,601 and $148,850.
• 7.8 percent on taxable income between $148,851 and $226,850.
• 8.8 percent on taxable income between $226,851 and $405,100.
• 8.95 percent on taxable income of $405,101 and above.

If you're high income, you will be writing Vermont a pretty large check. You'd have to work the numbers but at $100K, you probably wouldn't owe anything. At $200K, you'd owe a bunch. There is no substitute for downloading the Massachusetts non-resident tax forms and the Vermont resident tax forms and plugging in your numbers.

You also should look into your Vermont property taxes. If you're in a gold town, the non-resident "commercial rate" might be lower than the resident tax rate. Depending on the town and property valuation, Act 68 could cost you some money and you likely earn too much to qualify for any of the Act 68 state school tax means testing. If you're not in a gold town, your property taxes should go down.

I don't know if it's possible to have your wife & children be Vermont residents so your children can use the school systems and you declare Massachusetts since you work there and sleep there at least half time.

[BerkMTB]

Originally Posted by GeoffD

I don't know if it's possible to have your wife & children be Vermont residents so your children can use the school systems and you declare Massachusetts since you work there and sleep there at least half time.

This is the crux of my question. Thanks

[naadarien]

I do this, but I declare as a VT resident.

Usually, VT gives me credit for taxes paid to MA on my VT tax bill. That didn't happen this year. Not sure why, but I got a refund from MA that was slightly more than what I paid to VT so it all worked out in the end.

My husband and kids live here in VT. I work in Boston. I rent a hotel. My client partially reimburses me, and I write the rest off as unreimbursed business/employment expenses. One year, I rented an apartment in Revere. It was cheaper since I wasn't getting expenses reimbursed on that contract.

Hope that helps.