$26 Million Windfall: St. Louis to Repay Remote Workers’ Earnings Tax as Court Rules Against City’s Tax Hike-Are you Eligible?

St. Louis to Refund $26 Million in Earnings Tax to Remote Workers

Legal Ruling Highlights Complexities of Remote Work Taxation

According to FOX2 Now, in St. Louis there’s big news for taxpayers: the city will give back $26 million in earnings tax to remote workers who paid during the pandemic. This comes after a three-year legal fight ended with a court saying remote work outside St. Louis shouldn’t be taxed. About 2,100 taxpayers who appealed for 2020 to 2022 will benefit. Starting July 1, 2024 eligible people can apply for refunds. The city aims for a clear and fast process.

The earnings tax is important for St. Louis and Kansas City to fund services like police and parks. The issue started when non-St. Louis residents working from home for city-based companies were taxed. Lawsuits questioned if this was fair. The Missouri Court of Appeals ruled the city must repay taxes from remote workers not in St. Louis. It shows how complex taxes are with more people working from home.

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$26 Million Windfall: St. Louis to Repay Remote Workers’ Earnings Tax as Court Rules Against City’s Tax Hike-Are you Eligible? (PHOTO: Google)

St. Louis Begins Refund Process for Remote Work Earnings Tax

Gregory F.X. Daly the Collector of Revenue respects the court’s choice and says the city will follow it. From July 1 to October 31, 2024 people can apply for refunds. They’ll handle requests in the order they get them hoping to finish by year-end. This shows how important clear tax rules are as work setups change. It’s a big moment for cities figuring out taxes for remote work.

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