I live and work in Texas. I have a part time job doing some data analysis for a small business in Nebraska and that income is only about $10K per year. I have asked the employer to stop deducting Nebraska income tax from my paychecks and they said they aren't able to. Thankfully it's only a few hundred dollars a year.
In order to get this money back, I filed taxes with Nebraska, listed myself as a non-resident and claimed that no work was performed in NE. The tax software said I was due a full refund of the NE tax I paid which makes sense because I don't live in NE and have never stepped foot in the state.
Well today I get a letter in the mail from the NE Dept of Revenue that says I owe an additional $200.
I told my employer about it and they said the only way to stop the NE tax from being withheld is to claim 99 dependents.
How should I proceed with this? I really don't think it's fair I have to pay an extra $200 in taxes in a state I don't even live or work in.
original posted by boldjoy0050 to r/personalfinance on Tue, 05 Mar 2024 03:16:25 GMT.