Why Athletes Pay Taxes in Every State They Play in?
Athletes face a unique challenge when it comes to taxation due to the principle of taxation based on both residency and source of income. Unlike many professionals who may work and reside in one location, athletes often perform in various states over the course of a season. The United States operates on a system of dual taxation, where both the federal government and individual states have the authority to levy taxes. Residency rules vary among states, but generally, individuals are considered residents if they maintain a permanent home or domicile in that state. As athletes travel to different states for games and competitions, they trigger tax obligations in each jurisdiction where they earn income. Navigating these complexities requires careful consideration and professional guidance. If you’re an athlete dealing with tax problems, find some helpful information at https://taxhelpusa.com/tax-problems/.…