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  • Teleradiology state income tax

    Posted by pcmd7128_332 on April 2, 2023 at 8:22 am

    Which state income tax do you pay as a teleradiologist reading from a different state the group is/exams are performed? Solely the state you live in? Or combination of both?

    gmail.com replied 1 year, 3 months ago 10 Members · 20 Replies
  • 20 Replies
  • kstepanovs_485

    Member
    April 2, 2023 at 11:03 am

    I pay the state tax for the state I live/work in, that’s it.

    • ds_428_213

      Member
      April 2, 2023 at 11:06 am

      How are you paid? 1099?

      • pcmd7128_332

        Member
        April 2, 2023 at 11:24 am

        The job would be W2. I live and would read from TN, which has no state income tax but group would be in Minnesota. I was told that I would not have to pay MN state income tax but can’t find anything specific on the MN government/revenue website that backs those claims up.

        • william.wang_997

          Member
          April 2, 2023 at 11:30 am

          Yeah, you pay tax where you are living and working from.
           

          Quote from RadicallyRadicalRad

          The job would be W2. I live and would read from TN, which has no state income tax but group would be in Minnesota. I was told that I would not have to pay MN state income tax but can’t find anything specific on the MN government/revenue website that backs those claims up.

          • buckeyeguy

            Member
            April 2, 2023 at 12:34 pm

            Quote from RADD2010

            Yeah, you pay tax where you are living and working from.

            Quote from RadicallyRadicalRad

            The job would be W2. I live and would read from TN, which has no state income tax but group would be in Minnesota. I was told that I would not have to pay MN state income tax but can’t find anything specific on the MN government/revenue website that backs those claims up.

             
            Yes, it’s settled in everyone’s mind (many 1099s from multiple states who work for a telerad company, for example, obviously don’t fill out 10 state returns), except for people who keep asking in order to (eventually) ruin it.

            • ds_428_213

              Member
              April 2, 2023 at 12:58 pm

              Yes, you should be fine. You can confirm with your accountant if it makes you feel better before you sign contract.

              [link=https://www.mncpa.org/publications/footnote/2020-12/working-from-the-beach-minnesota-residency-and-unintended-tax-consequences/]https://www.mncpa.org/pub…nded-tax-consequences/[/link]

              As long as you are not a MN resident, you dont have to pay MN state tax.

              • andy.lippman_422

                Member
                April 2, 2023 at 4:50 pm

                Arkansas, Connecticut, Delaware, Massachusetts, Nebraska, New York, and Pennsylvania are the states that charge income tax to remote workers. If your employer is not based in one of those states and you live in a state with no income tax, you pay no state income tax.

                • buckeyeguy

                  Member
                  April 2, 2023 at 6:33 pm

                  Quote from nighthawker

                  Arkansas, Connecticut, Delaware, Massachusetts, Nebraska, New York, and Pennsylvania are the states that charge income tax to remote workers. If your employer is not based in one of those states and you live in a state with no income tax, you pay no state income tax.

                   
                  Did these specifically write in laws recently? Is that why you mention them? Thanks.

                  • kmh0667

                    Member
                    April 2, 2023 at 6:37 pm

                    you pay state tax where you are physically reading from.

                  • andy.lippman_422

                    Member
                    April 2, 2023 at 6:57 pm

                    Quote from Dream Run

                    Did these specifically write in laws recently? Is that why you mention them? Thanks.

                     
                    You can look it up, the information is available online. Basically it’s the convenience rule — if you’re working remotely for your convenience rather than the employer’s, you pay tax in that state. So if you’re looking for remote jobs, I would suggest to avoid practices based in any of those states.

                    • kstepanovs_485

                      Member
                      April 3, 2023 at 6:59 am

                      Quote from nighthawker

                      You can look it up, the information is available online. Basically it’s the convenience rule — if you’re working remotely for your convenience rather than the employer’s, you pay tax in that state. So if you’re looking for remote jobs, I would suggest to avoid practices based in any of those states.

                      I was not aware of that, good to know though. Thank you. 

                    • pdbauer

                      Member
                      April 3, 2023 at 7:38 am

                      LLC with s-corp election.
                       
                      you pay taxes in the state your company is incorporated in. 

                    • buckeyeguy

                      Member
                      April 3, 2023 at 9:23 am

                      Quote from theSNACman

                      LLC with s-corp election.

                      you pay taxes in the state your company is incorporated in. 

                       
                      Yes, always another way with all these dumb rules/laws, even if you are in one of those retard states that did the “convenience” stuff. Thanks boys.

                    • andy.lippman_422

                      Member
                      April 4, 2023 at 2:05 am

                      How does that help? That only works if your practice is willing to hire you as an IC, in which case, it doesn’t matter bc you would only pay taxes of your state of residency on 1099 income. Doesn’t help if you’re a W2 employee.

                    • buckeyeguy

                      Member
                      April 4, 2023 at 6:55 am

                      Quote from nighthawker

                      How does that help? That only works if your practice is willing to hire you as an IC, in which case, it doesn’t matter bc you would only pay taxes of your state of residency on 1099 income. Doesn’t help if you’re a W2 employee.

                       
                      Seems like a win-win, W2 is generally worse for the employer. And in this case, you.

                    • buckeyeguy

                      Member
                      April 4, 2023 at 8:12 am

                      What’s the average size in MB of a CT abd/pel? 50 MB?
                       
                      How about a CTA head/neck? 100 MB?

      • kstepanovs_485

        Member
        April 3, 2023 at 6:58 am

        Quote from Alpha Angle

        How are you paid? 1099?

        Yes, 1099 IC. 

        • andy.lippman_422

          Member
          April 4, 2023 at 2:06 am

          Quote from Dark Knight Rad

          Quote from Alpha Angle

          How are you paid? 1099?

          Yes, 1099 IC. 

          If you’re 1099 this doesn’t apply to you anyway. You just pay state tax where you live. I’m talking about W2 employees working remotely.

          • Radscatter

            Member
            April 4, 2023 at 3:49 am

            Add Maryland to the states that make out of state remote workers pay.

          • gmail.com

            Member
            April 4, 2023 at 10:06 am

            If you are doing telerad, you can choose to do it this way.
            Form LLC in the state you are reading from primarily/living.
            The LLC or PC (professional corp) is your legal/corporate entity in the state. 
            You will most likely have to pay some sort of business tax to the state and/or city/municipality for your revenue.
            Elect to be an S-corp w/ your IRS.  This covers your federal corporate tax arrangement.
            As an S-corp you can have yourself, the rad, be the sole employee as well as the sole shareholder in the corporation.   You do your teleradiology work and pay yourself a monthly or bi-weekly salary whichever is most convenient.  Give yourself a W-2.   Now you are a W-2 employee.
            Your corporation contracts w/ the telerad company or the private practice to provide rad interpretation services.
             

            Quote from nighthawker

            Quote from Dark Knight Rad

            Quote from Alpha Angle

            How are you paid? 1099?

            Yes, 1099 IC. 

            If you’re 1099 this doesn’t apply to you anyway. You just pay state tax where you live. I’m talking about W2 employees working remotely.