The Tax Questions Blog

Question: Working in a state with no state income tax while living in a state with a state income tax?

I live in Minnesota and I am going to be going to work for a cruise line in Florida soon, for the next 6 months onboard a cruise ship. Florida does not have a state income tax, Minnesota does.

Do I have to pay income tax on money earned in Florida to Minnesota?

Or do I just pay what is earned in Minnesota to Minnesota?

Thank you for your responses.

Answer: If you intend to return to Minnesota after your absence, then Minnesota considers your out of state income to be taxable to Minnesota. You would file a resident return and declare all income as Minnesota income.

If you move out of Minnesota with the intention of not returning to Minnesota, then you would file a part-year resident return. Only the income attached to Minnesota (not the cruise ship income) would be taxable to Minnesota.

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