My spouse’s and my work locations are apart by 120 miles. We co-own two properties: one near my work, the other near my spouse’s work. We do occupy both, as we stay separately in the place near work during the week days and take turns visiting each other during weekends. Can we claim both properties as primary residences?
I will assume that one of those homes mentioned is in Pennsylvania. According to a spring 2017 Pennsylvania CPA Journal article, a resident of Pennsylvania is defined either as someone who is “domiciled” in Pennsylvania or someone who is not domiciled in Pennsylvania but has a “permanent place of abode” in the state and spends, in aggregate, more than 183 days in the state. “Domicile” is defined as the place you intend to live and claim as your home, but still be a resident of more than one state. It is not unusual for retired individuals to have homes in Pennsylvania and a home in Florida. In most instances, being a resident of more than one state could have negative tax consequences, and cause complications in estate planning. I encourage you consult with a CPA for tax planning based on your unique circumstances.
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Answered by: Robert D. Hornick, CPA, is with Hornick & Associates LLC in Philadelphia.