Skip to content
Two investors reviewing resources on a laptop

Get industry-leading resources — for free

Unlock resources for every investing strategy and stage with a free account.

By continuing, you agree to BiggerPockets LLC's Terms of Use and Privacy Policy

Followed Discussions Followed Categories Followed People Followed Locations
Personal Finance
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

User Stats

1
Posts
0
Votes
J Reid
  • Wilmington, DE
0
Votes |
1
Posts

Avoiding City Wage Tax- High Income w/Duplex

J Reid
  • Wilmington, DE
Posted
Hey All, I currently live in Delaware where I pay a modest amount of taxes. I own the property here and will be renting it out during the coming months. The house in buying is a duplex in the Philadelphia, and I want to live in one unit while renting the other. The problem is that Philadelphia has a 3.9% wage tax and my income is not low. So I'm thinking I will continue to list my primary address as Delaware, but I don't know how I might avoid the city from investigating. I know I shouldn't apply for a parking permit or probably change my drivers license, etc, but don't they see who the home is owned by and start there?? Any advice would be helpful!

Most Popular Reply

User Stats

344
Posts
276
Votes
Paulette Midgette
  • Investor
  • Philadelphia, PA
276
Votes |
344
Posts
Paulette Midgette
  • Investor
  • Philadelphia, PA
Replied

Ditto Taylor and Matthew!!!  I have a couple of friends who tried this.  It took a number of years but it caught up with them and it was not pleasant.  No offense, I am a high wage earner who lives in Philadelphia and I can't stomach the fact that I am taxed to death.  But one,  it is our obligation and two, it is the law. If you want to pay less taxes, take a lower paying job and do not invest in ventures that will provide you with more income.

Loading replies...