People in New York are thinking about moving to Florida for tax reasons. But just buying a house there isn’t enough to avoid New York taxes. They have to prove they’re really living in Florida now. This article explains what that means and what they have to do to make it official. Domicile is where you live with the intention of making it your permanent home. It’s important for things like taxes and legal matters. You have to prove you really intend to live in a new place, not just say you do. It can be hard to prove, and you have to show clear evidence that you want to make a new place your permanent home. It’s not just about where you live, but also about your intentions and connections to a place. To prove you’ve changed where you live from New York to Florida, there are some important things you should do:
1. Tell the courts in Florida that you live there now, and also let New York know.
2. Make a new will and other legal papers so they follow Florida laws, and say you live in Florida.
3. Register to vote in Florida and cancel your registration in New York.
4. Live in a house or apartment in Florida, and maybe sell or rent your place in New York.
5. Apply for a special tax break for people who live in Florida, called a homestead exemption.
6. Open bank accounts in Florida and change your address on things like credit cards and insurance policies.
7. Register your car, boat, and anything else that needs a license in Florida, and get a Florida driver’s license.
8. Pay your taxes using your new Florida address.
9. Change your address with social, religious, and other groups you belong to.
10. Don’t ask for any special discounts that only people who live in New York can get.
11. Do your business in Florida and use your Florida address on everything.
By doing these things, you can show that you really do live in Florida now. If you want to avoid paying New York state income tax, you need to spend at least six months and a day in Florida and keep a diary of your time there. You should also avoid using credit cards, bank accounts, and phones in New York. If you’re a member of a country club in New York, use it in a way that doesn’t raise questions about how much time you spend there. It’s important to make Florida your main home in every way, from moving your personal stuff there to using Florida doctors and lawyers. New York can still make you pay taxes if you spend more than 183 days there, even if you’re a Florida resident. If you live in New York for more than 183 days in a year, you are considered a resident for tax purposes, even if you have a home in another state. If you own or contribute to expenses for a home in New York, that can also count as maintaining a residence. Even if you stay with your parents or at a vacation home, it could still count as a permanent place of abode in New York. New York can audit your tax status if they think you are not being honest about where you live. The State of New York Department of Taxation and Finance has guidelines to help auditors determine if a person is a resident of New York for tax purposes. They look at where the person’s home is, if they have a business in New York, how much time they spend there, and their family connections. If those factors don’t give a clear answer, they also look at things like where they get their mail, where they keep important documents, where their cars and other personal items are registered, and where they are registered to vote. They may also check things like phone records and parking tax exemptions. When the tax auditor looks at where someone lives, they’ll compare their New York and non-New York residences and how they’re used. They’ll also check if the person is involved in any businesses in New York. The auditor will also look at how much time the person spends in New York and where they keep important things like family heirlooms. They’ll also consider where the person’s family lives. If the auditor decides the person is not a New York resident, they’ll check if the person still counts as a resident under a different rule. After moving from New York to Florida, it’s important to keep track of where you are each day to show that you haven’t spent too much time in New York. In order to change your legal residence from New York to Florida, it’s important to take specific steps to show that you’ve moved and are no longer a resident of New York for tax purposes. This includes moving your property and contacts out of New York and consulting with advisors to make sure you don’t break any rules. If you don’t do this, you could end up being taxed by both New York and Florida, so it’s important to take the right steps to avoid problems. If you live in Florida and own a home there, you can get a $50,000 reduction in your property taxes. In New York, the amount of time you spend in the state and if you own property there can affect your taxes. It’s important to follow the guidelines to make sure you’re taxed correctly. The text talks about rules for nonresidents and taxation in New York. It also mentions attorneys from a law firm called Proskauer Rose LLP. The firm’s chair is David Pratt, and there are two other attorneys named Lindsay A. Rehns and Daniel Hatten. The firm’s goal is to serve the public and improve the justice system.
Source: https://www.floridabar.org/the-florida-bar-journal/moving-from-new-york-to-florida-perfecting-domicile/
Leave a Reply