Expert: John Kirk, CPA Date: 8/15/2008 Subject: state taxes
Question I work for a company headquartered in Louisiana. They withhold Louisiana state taxes from my pay each week. I live in Arkansas and work in Arkansas. My employer informs me they can't withhold Arkansas state tax only Louisiana. I am paying income tax in both states. Should I be required to pay Louisiana?
Answer Since you work in Arkansas, they are required to withhold Arkansas taxes. Sounds as if they are just lazy. Tell all your fellow workers of the fact and contact the Arkansas department of revenue about the actions of the company.
They will get on them for not reporting taxes payable to Arkansas.