Mobile Workforce State Income Tax Simplification Act of 2026

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 10271 Introduced in House (IH)] <DOC> 119th CONGRESS 2d Session H. R. 10271 To limit the authority of States to tax certain income of employees for employment duties performed in other States. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES September 3, 2026 Mr. Goldman of Texas introduced the following bill; which was referred to the Committee on the Judiciary _______________________________________________________________________ A BILL To limit the authority of States to tax certain income of employees for employment duties performed in other States. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Mobile Workforce State Income Tax Simplification Act of 2026''. SEC. 2. LIMITATIONS ON STATE WITHHOLDING AND TAXATION OF EMPLOYEE INCOME. (a) In General.--No part of the wages or other remuneration earned by an employee who performs employment duties in more than one State shall be subject to income tax in any State other than-- (1) the State of the employee's residence; and (2) the State within which the employee is present and performing employment duties for more than 30 days during the calendar year in which the wages or other remuneration is earned. (b) Wages or Other Remuneration.--Wages or other remuneration earned in any calendar year shall not be subject to State income tax withholding and reporting requirements unless the employee is subject to income tax in such State under subsection (a). Income tax withholding and reporting requirements under subsection (a)(2) shall apply to wages or other remuneration earned as of the commencement date of employment duties in the State during the calendar year. (c) Operating Rules.--For purposes of determining penalties related to an employer's State income tax wit