ONT crews on reserve
 

For those of you on reserve in ONT that don't live in California, do they take out CA state income taxes or the state you live in?

They might send you a letter but I don't know of anyone that has had to pay California income tax that lives out of state. However there are some guys that lived in California and tried to say they didn't. They ended up owing a lot of money.

They take out your state income tax (where you live), plus the CA SDI (state disability tax).

CA State Income Tax
 

I fought a battle with the CA Tax Board about a year ago, over state income tax. I won, but I had to hire an attorney to get it all settled. I was based in LAX, but living in South Dakota for three years from about 2001 to 2004. I didn't know they were trying to collect taxes from me until I had a $38,000 tax lean on me. I found out about that through an identity fraud protection agency. What a hassle!

They didn't collect state income tax from me, (but they tried later) however, they did collect for CA Disability.

Not to be a lurker on a UPS thread but I had the problem big time when I was LA based. If they come after you get a letter from your flight mgmt on letter head stating that you only come to CA to start trips and none of your money is generated in CA, you are an airline pilot. This was a real nightmare for me. CA was threatening wage garnishment, incarceration...It took me 6 months of calling them and sending them fax's before I finally spoke to the right person there and got it cleared up. Good luck, they are a bunch or @$$ ####'s trying to pay for their bankrupt welfare state.

Well, they have to pay for the illegals somehow. :rolleyes:

Thanks so much for the warnings/info guys. :D Hopefully, I won't have to sit reserve and worry about it but I'm just preparing myself.

Freight -
Just sent you a PM. I've put two attachments (old letters) into the note. If they're difficult to read send me a note and I'll email them to you.
For everybody that operates in CA but lives out of the state, at a minimum file a 540NR (non-resident) form. You are identified as a California income earner by the SDI (state disability insurance) withheld from your check. That's how they find you.
Hope that helps -
Nakazawa

FYI,
As far as UPS is concerned, it doesn't matter whether you're on reserve or not, if you're ONT based, you pay the SDI.

I care about the income tax not the SDI. I was very annoyed that they took SDI out of my check.....until I needed it. I will say it's been pretty painless and (for UPSers) while you are out on short term disability, it's ON TOP of the Mutual Aid so you are actually getting more net pay than when you are at work. FYI. I'm sure over the long term, I will pay more into it than I get out but so far this has not been the case.

clipping from an earlier post

Your CA income isn't taxed unless more than 50% of your flight time was in California. Whether they'd make you document that, and how that would play for a reserve guy who didn't get launched every day-who knows. Next link is from the State of California tax website, so, hopefully whatever crat you wind up speaking with next week is somewhat aware of California tax laws. If not, 1031 is the pub you need to remember (See p.7)

http://www.ftb.ca.gov/forms/2008/08_1031.pdf

As much as it sucks and seems wrong, unless a state specifically exempts you, the income you earn in that state isn't tax exempt just because you are a resident of a different state.

Thank God California hasn't chosen to chase the airline non-res dollars, yet.