The Foreign Service Journal, January-February 2014

THE FOREIGN SERVICE JOURNAL | JANUARY-FEBRUARY 2014 75 AFSA NEWS 2013 AFSA TAX GUIDE OKLAHOMA Individuals domiciled in Oklahoma are considered residents and are subject to tax on their entire income regardless of their physical presence in the state. Oklahoma’s tax rate rises in eight stages to a maximum of 5.25 percent on taxable income over $8,700 for single filers and $15,000 for married filing jointly. Write: Oklahoma Tax Commission, Income Tax, P.O. Box 26800, Oklahoma City OK 73126-0800. Phone: (405) 521-3160. E-mail: otcmaster@tax.ok.gov Website: www.tax.ok.gov OREGON Individuals domiciled in Oregon are considered residents and are subject to tax on their entire income regardless of their physical presence in the state. Under a 1999 law, however, Oregon exempts domiciliaries who meet the foreign residence requirement for the Foreign Earned Income Exclusion, even though they may be federal employees. For 2013, Oregon’s tax rate rises from 5 percent on taxable income over $3,150 for single filers and over $6,300 for married filing jointly, in three steps to 9.9 percent on taxable income over $125,000 for single filers and $250,000 for joint filers. Contact the Oregon Department of Revenue for up-to-date information. Oregon has no sales tax. Write: Oregon Department of Revenue, 955 Center St. NE, Salem OR 97301-2555. Phone: (503) 378-4988. E-mail: questions.dor@state.or.us Website: www.oregon.gov/DOR PENNSYLVANIA Pennsylvania tax authorities have ruled that Pennsylvania residents in the U.S. Foreign Service are not on federal active duty for state tax purposes, and thus their income is tax- able compensation. For non-Foreign Service state residents, there is no tax liability for out-of-state income if the individual has no permanent residence in the state, has a permanent residence elsewhere, and spends no more than 30 days in the state during the tax year. However, Pennsylvania does not consider government quarters overseas to be a “permanent residence elsewhere.” Filing a return is not required, but it is recommended to preserve domicile status. File Form PA-40 for all income derived from Pennsylvania sources. Pennsylva- nia’s tax rate is a flat 3.07 percent. Write: Commonwealth of Pennsylvania, Department of Rev- enue, Taxpayer Services Department, Harrisburg PA 17128- 1061. Phone: (717) 787-8201. E-mail: Link through the website’s “Contact Us” tab. Website: www.revenue.state.pa.us PUERTO RICO Individuals who are domiciled in Puerto Rico are consid- ered residents and are subject to tax on their entire income regardless of their physical presence in the commonwealth. Normally, they may claim a credit with certain limitations for income taxes paid to the United States on income from sources outside Puerto Rico. Taxes range from 7 percent of taxable income up to $22,000 to 33 percent of the taxable income over $60,000 for all taxpayers. Write: Departamento de Hacienda, P.O. Box 9024140, San Juan PR 00902-4140. Phone: (787) 727-0216. E-mail: infoserv@hacienda.gobierno.pr Website: www.hacienda.gobierno.pr RHODE ISLAND Individuals domiciled in Rhode Island are considered resi-