If I put my home office in Chicago, but file my w-2s in Houston. Will I get in trouble for taxes?

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Posting as :
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Yes

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Thank you

Do you have a reasonable claim to actually being a Texas resident? If not, definitely.

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Definitely - don’t mess with the IRS. Keep all addresses simple and consistent for tax calculations and deductions. Just use a local address in Houston.

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IRS doesn’t care what state he lives in since Federal taxes are the same everywhere, but the state of Illinois definitely does care. I imagine Illinois and perhaps city of Chicago income taxes are pretty high.

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If your home office is Chicago, your company likely reports you as being an Illinois resident/employee. Even if you mark your time as being worked in another state, Illinois will still tax you on all income. Have had my income tax credit paid to other states rejected when filing my taxes (it amounts to double taxation and have had to appeal or get a true up payment from payroll). So while Texas is a no income tax state, Illinois is going want paid on all earnings. Best bet is to transfer offices.

Unless you can prove residency for 183 days and are able to show documents including: receipts of expenses for that time period, gas bills, residence, phone records for origination of calls. Don’t. The IRS doesn’t mess around.

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