The Foreign Service Journal, February 2008

52 F OR E I GN S E R V I C E J OU R N A L / F E B R U A R Y 2 0 0 8 they should check with the Illinois Department of Revenue in advance. The Illinois tax rate remains a 3-percent flat rate for 2007. For information, write: Illinois Department of Revenue, P.O. Box 19001, Springfield IL 62794-9001. Phone: (217) 782-3336 or toll-free 1 (800) 732-8866. E-mail: Link through “Contact Us,” then “Taxpayer Answer Center.” Web site: www.revenue.state.il.us INDIANA: Individuals domiciled in Indiana are considered residents and are subject to taxon their entire income regard- less of their physical presence in the state. Indiana’s tax rate remains a flat 3.4percent for 2007. Write: Department of Revenue, 100N. SenateAve., Indianapolis IN46204. Phone: (317) 232-2240. E-mail: Link through the Web site’s “Contact Us” tab. Web site: www.in.gov/dor IOWA: Individuals domiciled in Iowa are considered residents and are subject to taxon their entire income to the extent that income is taxable on the person’s federal income tax returns. Iowa’s tax rate ranges inninebrackets from0.36percent toamax- imum of 8.98 percent on taxable income over $60,435, depending on income and filing status. Write: Taxpayer Services, Iowa Department of Revenue, P.O. Box 10457, Des Moines IA 50306-0457. Phone: (515) 281-3114. E-mail: idr@iowa.gov Web site: www.state.ia.us/tax KANSAS: Individuals domiciled in Kansas are considered residents and are subject to taxon their entire income regard- less of their physical presence in the state. TheKansas tax rate rises fromaminimum of 3.5percent toamaximumof $2,925plus 6.45percent onexcessover $60,000 for joint filers, or $1,463plus 6.45percent on excess over $30,000 for single filers. Write: Kansas TaxpayerAssistanceCenter,Room150, 915 SWHarrison, Topeka KS 66612. Phone: (785) 368-8222. E-mail: tac@kdor.state.ks.us Web site: www.ksrevenue.org KENTUCKY: Individuals domiciled in Kentucky are considered residents and are subject to taxon their entire income regard- less of their physical presence in the state. Kentucky’s tax rate ranges from2 percent on the first $3,000 of taxable income to $4,166 plus 6 percent on all taxable income over $75,000. Write: Kentucky Department of Revenue, Frankfort KY 40602. Phone: (502) 564-4581. E-mail: Link through the Web site’s “Contact Us” tab. Web site: revenue.ky.gov LOUISIANA: Individuals domiciled in Louisiana are considered residents and are subject to taxon their entire income regard- less of their physical presence in the state. Louisiana’s tax rate begins at 2 percent on the first $12,500 for single filers or $25,000 for joint filers, rising to 6 percent on tax- able income over $25,000 for single filers or $50,000 for joint filers. Address: Tax- payer Services Division, Personal Income Tax Section, Louisiana Department of Revenue, P.O. Box 201, Baton Rouge LA 70821-0201. Phone: (225) 219-0102. E-mail: Link through the Web site’s “Contact Us” tab. Web site: www.revenue.louisiana.gov MAINE: Individuals domiciled in Maine are consideredresidents andare sub- ject to taxon their entire income. However, beginning inTaxYear 2007, there is a “safe harbor” provision. Individuals who are domiciled inMaine are treated as non-res- idents if they satisfy all three of the follow- ing conditions: 1) they did not maintain a permanent place of abode inMaine for the entire taxableyear; 2) theymaintainedaper- manent place of abode outside Maine for the entire taxable year; and 3) they spent no more than 30 days in the aggregate in Maineduring the taxable year. Maine’s tax rate rises fromaminimumof 2 percent in three steps to a maximum of 8.5 percent on taxable income over $44,000 for mar- ried filing jointly. Write: Maine Revenue Services, Income Tax Assistance, 24 State House Station, Augusta ME 04333-0024. Phone: (207) 626-8475. E-mail: income.tax@maine.gov Web site: www.maine.gov/revenue MARYLAND: Individuals domiciled in Maryland are considered residents and are subject to taxon their entire income regard- less of their physical presence in the state. 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 state for anaggregated total of 183daysormore. For Tax Years 2007, 2008 and 2009 only, U.S. government employees will be able to deduct up to $3,500 of any income earned overseas, including federal pay. Maryland’s tax rate is 4.75 percent on taxable income over $3,000. In addition, Baltimore City and the 23 Maryland counties impose a local income tax, which is a percentage of theMaryland taxable income, using line 31 of Form 502 or line 9 of Form 503. The local factor varies from 1.25 percent in Worcester County to 3.2 percent in Montgomery and Howard Counties (see Web site for details onall counties). Write: Comptroller of Maryland, Revenue Administration Center, Taxpayer Service Section, Annapolis MD 21411. Phone: (410) 260-7980 or toll-free 1 (800) MD-TAXES. E-mail: taxhelp@comp.state.md.us Web site: www.marylandtaxes.com MASSACHUSETTS: Individualsdomi- ciled inMassachusetts are considered res- idents and are subject to tax on their entire income regardless of their physical presence in the state. Salaries andmost interest and dividend income are taxed at a flat rate of 5.3percent. Some income (e.g., short-term capital gains) is taxed at 12 percent. Write: Massachusetts Department of Revenue, Taxpayer ServicesDivision, P.O. Box 7010, Boston MA 02204. Phone: (617) 887-6367. E-mail: Link through the Web site’s “Contact Us” tab. Web site: www.dor.state.ma.us MICHIGAN: Individuals domiciled in Michigan are considered residents and are subject to taxon their entire income regard- less of their physical presence in the state. Michigan’s tax rate was increased from a flat 3.9 percent to 4.35 percent on Oct. 1, 2007; thus the annualized rate forTaxYear 2007 is 4.01percent. SomeMichigan cities impose an additional 1- or 2-percent in- come tax. (Detroit imposes an addition- al 2.5-percent tax.) Address: Michigan Department of Trea- sury, Lansing MI 48922. Phone: toll-free 1 (800) 827-4000. E-mail: treasIndTax@michigan.gov Web site: www.michigan.gov/treasury MINNESOTA: Individuals domiciled inMinnesota are considered residents and are subject to tax on their entire income regardless of their physical presence in the A F S A N E W S