When using a U.S. property address (that i own) for my US bank account should i file taxes as a state resident still while living abroad for 6 years?
Posted by InspectorT3@reddit | expats | View on Reddit | 22 comments
I own a home in the U.S. and use that address for my U.S. bank accounts. I pay a mortgage on this house, i pay property taxes one it, etc. but I’m currently living abroad and expect to remain abroad for several years
since I'm using my U.S. home address for banking purposes should i still also file as a resident of that state still? Or can i file for non-residency and still use that US property address for my bank (until i move back.)
Unusual_Coat_8037@reddit
Check to see if your state has a "safe harbor" provision for residents who are out of the country long term. Mine does, as does California, for example:
https://www.greenbacktaxservices.com/tax-qa/california-546-day-safe-harbor/
isaiah58bc@reddit
You need a tax consultant if you can not figure out how to fill out your state tax forms.
You probably still have your state issued drivers license correct? Registered to vote? Paying property taxes. Maybe withdrawing funds from investment accounts? Collecting anything like social security? Things you need to account for.
Humble_Interest_9048@reddit
Check r/TaxQuestions
InspectorT3@reddit (OP)
I'm asking a bank question though. Not a tax question
CuriosTiger@reddit
Your subject line literally asks about filing taxes.
Emily_Postal@reddit
Depends on the state.
Consistent-Barber428@reddit
As I understand it, it very much depends on the state. NYS for instance if a sticky state and if you own property there, but move abroad, they might come after you for at least a state filing, if it is your permanent residence.
Also, if your bank reports 1099 income, I assume they will report it to that state in which you branch and address on file are.
NCGlobal626@reddit
Where do you earn the money that you pay income tax on? As an example, my daughter lives abroad and makes her money there (work visa.) She is a resident of our state, using our address for banks, investments, drivers license, voter registration, etc. However she only pays federal income tax, as required as a US citizen. She doesn't earn money in this state. Read up on the difference between residency and domicile, and what your state department of revenue says about that.
InspectorT3@reddit (OP)
Yea im just wondering if i can use my US address my 'permanant address' or 'primary address' for US banks even if i file for non-residency
NCGlobal626@reddit
Your US address would be your domicile, aka permanent address, your residency shouldn't matter to banks. Just like military personnel. They are stationed somewhere else.
InspectorT3@reddit (OP)
But i think if you file for non-resident you are basically saying you're US address is not your domicile (the place you intend to return to) according to the state.
Therefore if I'm filing for non-residency my US bank may say my US address is not actually my permanent or domiciled address.
Technical-Neck7407@reddit
Bnks don’t care. I’ve been living abroad 28 years and use my California address for my bank business. I file as a non-resident taxpayer.
NCGlobal626@reddit
But I don't think the banks care. They want your money. You have a US address that's in your tax returns, they can't argue with that.
_tinyhands_@reddit
This. Bank won't know or care about your tax filing status.
NotASpyJustExpat@reddit
If you rent your house out and can prove you rent your house out the house doesn't matter
But you will still have to pay state tax unless you establish residency in a 0 state tax state
InspectorT3@reddit (OP)
I just want to continue to use my US Bank abroad and whether filing for non-residency is going to hurt my "US address profile" that they use.
NotASpyJustExpat@reddit
I can't see the bank randomly requesting anything without an address change submission, and if they do a utility bill would probably be fine
But i think it's more unlikely, depending on your state, that you will be able to file as a non-resident unless you're renting out your house.. but i'm also not a CPA. I just had to do a lot of research when i moved abroad, and my research was based on exiting California which is notoriously strict. I just ended up setting up a domicile in Florida and switched all my banking and credit cards to that.
InspectorT3@reddit (OP)
So i use my banks credit and debit card a lot abroad, so after 6 years I'm worried they may ask where i actually reside? And that my US address (where i say I'm a non-resident) won't suffice
DifferentWindow1436@reddit
You have two separate issues.
Do you need to file/pay in the state > check with a CPA on the recommended course of action. There are states that are more aggressive than others.
What to do with your bank account > retail banks don't have an issue with you being abroad. You can add a second address for mailing (your international address) while leaving your US address in place. An automated mortgage payment should not be an issue. You can call and openly discuss with them. I have had 3 US banks and none have had a problem with this. Having said that, they vary in terms of how well their websites work from outside the country. Citi has been the best.
InspectorT3@reddit (OP)
So in my certain situation my cpa said i technically can do either or as far as filing for state taxes or non-resident.
So im just wondering if it's better to file for state residency, because then i could still say i pay state taxes and can have a state ID if my bank wanted these very specific things.
HugeRoof@reddit
If you rent it out, no problem, as you can't be assumed to also be living there. If you don't, really depends on the state.
InspectorT3@reddit (OP)
Yes i just want my US bank account to continue to work for 6 years and not have them shut me off while I'm abroad.
But they just ask for a physical US address that I'm tied to.
So i don't know.