When/how to shift residency from AZ to CA when starting a new job remotely before moving

I just started a new job in California, and am going to move from Arizona to California next month. I started work two days ago, and am temporarily living with my in-laws in California for about 2 weeks, while physically working in California. After that, I'm going to go back to my home in Arizona, and telecommute for the same company for 3-4 weeks until I relocate. Meanwhile, my wife is still living and working in Arizona, and will end her job before we move.

My employer of record is a HR firm that serves as employer of record for all of their clients.

What I'm wondering is what permanent address I should use, and what the state tax consequences will be: my home address in Arizona, or my in-laws in California, where I'm temporarily staying. Obviously, once I move to California permanently, I'll use my new CA permanent address. Until then, am I an AZ resident, CA resident, or do I have the option of picking? And what will the tax consequences be? Will I have to pay CA tax on the work I do for the CA company from my home in AZ, and/or the work I do while temporarily staying in CA? If so, will I also have to pay AZ tax on that same income?
Multi-State Tax State Tax Interstate moves
TaxConnections Members... Answer This Question Want To be One of Our Tax Experts? Register Here

Tax Professional Answers

User Photo
John Stancil
You are not a resident of California until you have established residency there. This occurs when you have the trappings of residency, such as a driver's license, a home that you own or rent, voter registration, etc. Until that time, you are still a resident of Arizona and owe state taxes in AZ for any income that you earn, regardless of where that income is earned. You will also owe taxes to CA as a non-resident until such time as you have established residency there. AZ will give you a credit for taxes paid to CA that were paid while still an AZ resident.
Leave a Comment 210 weeks ago

Meet Leading Tax Advisors

User Photo Peter J. Scalise

Federal Tax Credits & Incentives Practice Leader

New York, NY

User Photo John L Stancil

Tax Advisor/CEO

Lakeland, FL

User Photo John R Dundon, II EA

Tax Director

Denver, CO

User Photo Kevin Johnson MS, JD, LL.M, CPA


Philadelphia, PA

User Photo Brian Weaver, CPA, MBA

Managing Tax Consultant

Des Plaines, IL

User Photo William Rogers, CFP, MBA, EA

Rancho Santa Fe, CA


User Photo Jim Marshall, EA

President/ Tax And Financial Advisor

Scottsdale, AZ

User Photo Brett A Thompson, JD, CPA

Managing Tax Lawyer

Katy, TX

User Photo Charles Woodson, EA

Tax Advisor/Fiduciary Coach

San Diego, CA

User Photo John Richardson

Tax Lawyer

Toronto, Canada

User Photo Clifford Benjamin

Senior Tax Principal

Daytona Beach, FL

User Photo Kazim Qasim, EA, CTC

Managing Tax Advisor/CEO

Orlando, FL


View/Select our Current List of Tax Topics

# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Previous PageNext Page



Learn from tax advisors, straight to your inbox

Update My Email Address
Contact Us Today