The Foreign Service Journal - January/February 2018

THE FOREIGN SERVICE JOURNAL | JANUARY-FEBRUARY 2018 81 We also recommend consulting the Tax Foundation website at www.taxfoundation.org , which provides useful information, including a table showing tax rates for all states for 2017. STATE OVERVIEWS ALABAMA Individuals domiciled in Alabama are considered residents and are subject to tax on their entire income, regardless of their physical presence in the state. Alabama’s individual income tax rates range from 2 percent on taxable income over $500 for single taxpayers and $1,000 for married filing jointly, to 5 percent over $3,000 for single taxpayers and $6,000 for married filing jointly. Write: Alabama Department of Revenue, 50 N. Ripley, Montgomery AL 36104. Phone: (334) 242-1170. Website: https://revenue.alabama.gov Email: Link through the website, “About Us,” then “Contacts,” then “Income Tax.” ALASKA Alaska does not tax individual income or intangible or per- sonal property. It has no state sales and use, franchise or fiduciary tax. However, some municipalities levy sales, prop- erty and use taxes. Write: State Office Building, 333 West Willoughby Ave., 11th Floor, P.O. Box 110420, Juneau AK 99811-0420. Phone: (907) 465-2320. Website: www.tax.state.ak.us AR I ZONA Individuals domiciled in Arizona are considered residents and are taxed on any income that is included in their Federal Adjusted Gross Income, regardless of their physical presence in the state. Arizona’s tax rate ranges in five brackets from a minimum of 2.59 percent to a maximum of 4.54 percent of taxable income over $305,336 married filing jointly or $152,668 for single filers. Write: Arizona Department of Revenue, Customer Care, P.O. Box 29086, Phoenix AZ 85038-9086. Phone: (602) 255-3381. Website: www.azdor.gov Email: For general questions, taxpayerassistance@azdor.gov ARKANSAS Individuals domiciled in Arkansas are considered residents and are taxed on their entire income, regardless of their physi- cal presence in the state. The Arkansas tax rate ranges in six brackets from a minimum of 2.4 percent to a maximum of 6.9 percent of net taxable income over $85,000. Write: Department of Finance and Administration, Income Tax Section, P.O. Box 3628, Little Rock AR 72203-3628. Phone: (501) 682-1100. Website: www.arkansas.gov/dfa Email: Use Contact Form on “Contact Us” page of the website. CAL I FORN I A Foreign Service employees domiciled in California must establish non-residency to avoid liability for California taxes (see Franchise Tax Board Publication 1031). However, a “safe harbor” provision allows anyone who is domiciled in state but is out of the state on an employment-related contract for at least 546 consecutive days to be considered a non-resident. This applies to most FS employees and their spouses, but members domiciled in California are advised to study FTB Publication 1031 for exceptions and exemptions. The Califor- nia tax rate for 2017 ranges in eight brackets from 1 percent of taxable income under $8,223 for singles and $15,466 for joint filers, to a maximum of 12.3 percent on taxable income over $551,473 for singles and $1,102,946 for joint filers. Non-resident domiciliaries are advised to file on Form 540NR. Write: Personal Income Taxes, Franchise Tax Board, P.O. Box 942840, Sacramento CA 94240-0040. Phone: (800) 852-5711 (inside the U.S.); (916) 845-6500 (outside the U.S.). Website: www.ftb.ca.gov Email: Link through the website’s “Contact Us” tab. COLORADO Individuals domiciled in Colorado are considered residents and are subject to tax on their entire income, regardless of their physical presence in the state. Colorado’s tax rate is a flat 4.63 percent of federal taxable income, plus or minus allowable modifications. Write: Department of Revenue, Taxpayer Service Division, P.O. Box 17087 Denver CO 80217-0087. Phone: (303) 238-7378. Website: www.colorado.gov/revenue Email: Link through the website’s “Contact Us” tab on the “Taxation” page. CONNECT I CUT Connecticut domiciliaries may qualify for non-resident tax treatment under either of two exceptions as follows: Group A—the domiciliary 1) did not maintain a permanent place of abode inside Connecticut for the entire tax year; and 2) main- tains a permanent place of abode outside the state for the