The Foreign Service Journal, January-February 2022

THE FOREIGN SERVICE JOURNAL | JANUARY-FEBRUARY 2022 69 CALIFORNIA Foreign Service employees domiciled in California must estab- lish 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 domi- ciled in California are advised to study FTB Publication 1031 for exceptions and exemptions. The California tax rate ranges in eight brackets from 1 percent of taxable income under $8,932 for singles and $17,864 for joint filers, to 12.3 percent on taxable income over $599,012 for singles and $1,000,000 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 4.55 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: Tax.Colorado.gov Email: DOR_TaxpayerService@state.co.us CONNECTICUT Connecticut domiciliaries may qualify for non-resident tax treat- ment 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) maintains a permanent place of abode outside the state for the entire tax year; and 3) spends not more than 30 days in the aggregate in the state during the tax year. Group B—the domiciliary 1) in any period of 548 consecu- tive days, is present in a foreign country for at least 450 days; and 2) during the 548-day period, is not present in Connecticut for more than 90 days; and 3) does not maintain a permanent place of abode in the state at which the domiciliary’s spouse or minor children are present for more than 90 days. Connecticut’s tax rate for married filing jointly rises from 3 percent on the first $20,000 in six steps to 6.9 per- cent of the excess over $500,000, and 6.99 percent over $1,000,000. For singles, it is 3 percent on the first $10,000, rising in six steps to 6.9 percent of the excess over $250,000 and 6.99 per cent over $500,000. Write: Department of Revenue Services, 450 Columbus Blvd., Suite 1, Hartford CT 06103. Phone: (860) 297-5962 Website: www.ct.gov/drs Email: Link through the website’s Contact Us page. DELAWARE Individuals domiciled in Delaware are considered residents and are subject to tax on their entire income regardless of their physical presence in the state. Delaware’s graduated tax rate rises in six steps from 2.2 percent of taxable income under $5,000 to 6.6 percent of taxable income over $60,000. Write: Division of Revenue, Taxpayers Assistance Section, State Office Building, 820 N. French St., Wilmington DE 19801. Phone: (302) 577-8200 Website: www.revenue.delaware.gov Email: DOR_PublicService@delaware.gov DISTRICT OF COLUMBIA Individuals domiciled in the District of Columbia are consid- ered residents and are subject to tax on their entire income regardless of their physical presence there. Individuals domiciled elsewhere are also considered residents for tax purposes for the portion of any calendar year in which they are physically present in the district for 183 days or more. The district’s tax rate is 4 percent if income is less than $10,000; 6 percent between $10,000 and $40,000; 6.5 percent between $40,000 and $60,000; 8.5 percent between $60,000 and $350,000; 8.75 percent between $350,000 and $1,000,000; and 8.95 percent over $1,000,000. Write: Office of Tax and Revenue, Customer Service Center, 1101 4th St. SW, Suite 270 West, Washington DC 20024. Phone: (202) 727-4829 Website: www.otr.cfo.dc.gov Email: taxhelp@dc.gov FLORIDA Florida does not impose personal income, inheritance, gift or intangible personal property taxes. Property tax (homestead) exemptions are only available if you own and permanently reside on the property. Sales and use tax is 6 percent. There are additional county sales taxes that could make the com- bined rate as high as 8.3 percent. Write: Taxpayer Services, Florida Department of Revenue, 5050 W. Tennessee St., Bldg. L, Tallahassee FL 32399-0100. Phone: (850) 488-6800 Website: floridarevenue.com/taxes Email: Use Ask a Tax Question on the website’s Contact page.