Limits states' ability to tax income of employees working in multiple states.

The Mobile Workforce State Income Tax Simplification Act of 2025 restricts states' authority to tax income of employees who work in multiple states. Income is only taxable in the employee's resident state and the state where they perform duties for over 30 days. Employers can rely on employee-provided time estimates unless fraud or collusion is suspected. The act excludes professional athletes, entertainers, production employees, and public figures from its scope. It takes effect January 1 of the second year after enactment.

Limits states' ability to tax income of employees working in multiple states.

The Mobile Workforce State Income Tax Simplification Act of 2025 restricts states' authority to tax income of employees who work in multiple states. Income is only taxable in the employee's resident state and the state where they perform duties for over 30 days. Employers can rely on employee-provided time estimates unless fraud or collusion is suspected. The act excludes professional athletes, entertainers, production employees, and public figures from its scope. It takes effect January 1 of the second year after enactment.