96-083
Response
May 16, 1996
Request
1950
West 210 North
Salt
Lake City, Utah 84134
XXXXX
RE:
State Income Tax withheld on "over the road drivers."
Dear
XXXXX:
I
am employed as an "over the road truck driver" by XXXXX whose home
office is XXXXX. The correspondence probably should be directed at the payroll
Dept.
I
am a resident of Wyoming who is employed by XXXXX of XXXXX. XXXXX has a
terminal in Salt Lake City Utah, which is the home terminal I am dispatched
from. I normally drive and sleep in a truck that runs approximately 5700 miles
a week. Out of that 5700 miles we are on Utah highways and are paid for
approximately 350 of the 5700 miles a week for the 350 miles we drive in Utah.
The question I have is, am I required to pay state income tax when I only
receive approximately .06% of my income for driving in Utah, and the other
miles I am paid for are in Wyoming, Nebraska, Missouri, Iowa, Minnesota, and
Tennessee? Also, I receive no services from Utah, nor do I have any
representation in Utah. Would you please send myself and XXXXX's payroll Dept.
an opinion on this matter.
Thank you,
XXXXX
XXXXX
Advisory Opinion - Non-resident income tax
Dear XXXXX
We
have received your request regarding Utah income tax. On the basis of the information presented in your letter, we
assume for purposes of this response that you are a resident of Wyoming and
that you do not maintain a domicile in Utah that subjects you to Utah income
tax. On that basis we find as
follows:
As
an over the road driver operating in interstate commerce, your income is
taxable in your state of domicile. §49
U.S.C. 14053 (copy enclosed). From
Utah’s perspective, “domicile” means the place where an individual has a true,
fixed, permanent home or place of permanent and voluntary habitation.
If
you are not domiciled in Utah, your employer is not required to deduct and
withhold Utah tax on your wages. You
must furnish your employer a withholding exemption certificate certifying that
you incurred no Utah tax liability for the preceding tax year, and you do not
anticipate incurring Utah tax liability during the current tax year. If your employer incorrectly withheld and
reported your income in Utah, you may claim a refund by filing a nonresident tax
return (TC-40NR).
Please
let us know if we can be of further assistance.
For
the Commission,
Alice
Shearer,
Commissioner