Living in Missouri but working in Iowa?

Each state will be a separate state income tax return NONRESIDENT state where you did work to earn the income and then your resident state where your state of domicile home of residence is during the 2013 tax year OK.

Once the state returns are correctly competed during the tax filing season you will know what taxes you MIGHT owe to each state at that time in your life OK.

Hope that you find the above enclosed information useful. 09/05/2013

You would file returns in both states. You'd file an IA return and pay tax only on the IA source income. Then you'd file a MO return and pay tax on your world-wide income, however MO will give you a credit for the IA tax paid equal to the lesser of the IA tax paid or what MO would have collected on the IA source income.

IA employers are only required to withhold IA income tax. It will be up to you to figure out if the IA tax will be sufficient to cover your MO tax liability. If it won't be, you might need to make quarterly estimated payments to MO.

Although both states have progressive tax rates the top IA rate is about 50% higher than the top MO rate. However the IA brackets are much larger. The result is that if your income is between about $10k and $30k you'll pay less tax in MO. Above that, IA is likely to be higher.

Ignore tro. He's wrong as usual on tax home. Your tax home is that place that you return to at the end of the workday the majority of the time. If you commuted daily, your tax home would remain in MO.

if this is not going to be a temporary job, yes, you will very likely pay taxes to both states

the rule is your tax home is where you work unless it is short, temporary less than a years duration