State taxes. Many of us have them. We try to minimize them as best we can, to keep as much money as the law will allow in our pockets. There are many ways that a person can legally write-off expenses and deductions to change AMOUNT DUE to REFUND DUE. We all pay our fair-share of these taxes, so that the streets can be paved, schools can be kept open so that kids can thrive, and community services can be maintained. These services require tax money in order to operate, and without it, budgets are cut (with services therefore cut).
For the men and women in our armed forces who legitimately claim to be domiciled in or residents of States that do not have State income tax, ‘good for you’ that you get to take advantage of this benefit. Examples of such States are:
- South Dakota
For this post, we are strictly going to talk about Maryland. According to the Comptroller of Maryland website (found HERE), a person is a “resident” if:
“Your permanent home is or was in Maryland (the law refers to this as your domicile). OR your permanent home is outside of Maryland, but you maintained a place of abode (that is, a place to live) in Maryland for more than six months of the tax year. If this applies to you and you were physically present in the state for 183 days or more, you must file a full-year resident return.”
The issue of “domicile” comes into play, and fortunately, the State of Maryland issued an Administrative Release that covers the matter thoroughly. You can find that writeup by clicking HERE or by reading the PDF below:
In the military, a person can have a legal residence, which can be different than their ‘home of record’. Home of record is where they were when they enlisted or re-enlisted, and legal residence is where they conduct business and intend to live when they retire or leave the service. It is their permanent home, demonstrated by the activities they have already conducted and continue to conduct.
According to the linked website, a person can change their legal residence by completing a DD Form 2058. On that form is that all-too-familiar wording: “I certify that, to the best of my knowledge and belief, I have met all the requirements for legal residence or domicile in the state claimed above and that information provided is correct. I understand that the tax authorities of my former state of legal residence or domicile will be notified of this certificate.” Hmmm.
Supposedly, the military is REQUIRED to make sure that a servicemember isn’t changing their legal residence in order to avoid taxation. There are people whose jobs it is to answer such questions, when/if asked. You can see that written HERE. We found an Air Force writeup on legal residence, written by 1st Lt. Nicole Naeser that can be found HERE.
INTENT means everything, and one of the strongest ways to show it is with where you actually live and by where you register to VOTE. For those in the military, the Servicemember’s Civil Relief Act allows them to do all of their residency things in the place where they have legal residence, as opposed to where they may be stationed (since that may frequently change).
So what would be the chances that 3 or more people who have ALL worked on the same Air Force base in Maryland, would ALL be registered to vote in the SAME Florida county for years? What if ALL of them owned houses in DC or Maryland, had cars registered there also, lived and worked in DC/MD, had spouses residing in DC/MD, and had DC or MD driver’s licenses the entire time?
Maryland tax evasion is a fraud of another sort, but one that will be explored via this site as additional information is obtained. Finding legitimate ways to lower your taxes is fine. CREATING a fictitious life to try to justify having NO taxes, is FRAUD (and greedy). Do YOU have information that can help? You know who we’re looking for, and you know where to cast your line if you know something that can help: fishy(at)tocatchafish.net