Championing equity for employees nationwide, U.S. Congressman Hank Johnson (D-GA), a member of the Judiciary Committee , today introduced the Mobile Workforce State Income Tax Fairness and Simplification Act of 2007.
The legislation would establish national tax standards for employees working on temporary assignments out-of-state who are often subjected to non-resident personal income tax requirements. The bill also lends support to their employers who face corresponding withholding requirements for these mobile workers.
"We need simplified and fair laws for employees conducting business outside of their state. This bill is designed to provide a uniform and easily administrable rule to address the inconsistent income tax requirements that employees and employers face when filing income taxes," said Rep. Johnson.
According to the Congressman, employees are often unaware of various state filing requirements and employers may incur extraordinary expenses to comply with the various withholdings. Taxation of an individual's wages in their resident state, however, would not be affected by the legislation.
Congressman Johnson noted that the Judiciary Committee's Commercial and Administrative Law Subcommittee would review the issue which he hopes will lead to a hearing. The Congressman is also a member of the House Small Business Committee.