Do expats pay state taxes?
Many expats still owe state taxes even after moving abroad. Learn which states are most aggressive, how to terminate residency, and whether you need to keep filing state returns.
It depends on the state. Some states (California, Virginia, New Mexico, New York, South Carolina) are extremely aggressive about claiming that expats remain residents for tax purposes. Others (Texas, Florida, Nevada, Washington, Tennessee) have no state income tax, so there is no filing obligation. To stop filing state taxes, you must generally: (1) establish a new domicile in another state or country, (2) sever as many ties as possible with the old state (sell property, cancel voter registration, surrender driver's license, close bank accounts), and (3) document your intent to remain abroad permanently. Each state has different safe-harbor rules and presumptions.