Although a nonresident employee may be exempt from Arizona income tax withholding, the individual has to file a nonresident Arizona income tax return if he or she meets the filing requirement.
Is Arizona a mandatory withholding state?
Arizona state income tax withholding is a percentage of the employee’s gross taxable wages. Amounts included in wages and subject to mandatory federal withholding are subject to mandatory Arizona withholding.
Can a military spouse file as a nonresident in Arizona?
Arizona residents who have spouses in the military (including non-residents), and who want to file married filing separately, can file Form 140. The nonresident military spouse will file Form 140NR to show that spouse’s Arizona source of income and his or her community property share of the resident spouse’s income.
Can a non-resident file a tax return in Arizona?
Individuals who do not meet these filing requirements, but have Arizona income tax withheld from their earnings, will have to file an Arizona return to obtain a refund of the withholding tax paid. Arizona residents who have spouses in the military (including non-residents), and who want to file married filing separately, can file Form 140.
Do you have to pay taxes in Arizona if you live in another state?
The other state does not tax Arizona residents on income derived from sources within that state. The other state allows Arizona residents credit for taxes paid on income subject to tax in that state and Arizona.
Can a California resident be married to a nonresident?
That said, it is no simple matter to establish or maintain nonresidency status while married to a spouse who is a California resident. There are traps for the unwary. Many taxpayers are surprised to learn California even allows separate residency status for spouses. But in fact, there is no such thing as “marital” residency.
