I agree with jbeidle; be sure to check with your state tax commission or revenue department. My son and wife live in Scotland. Their U.S. address is my address. My daughter-in-law is working as an independent contractor for her former employer, who is located in a different state. I just went through the process of inquiring about their tax requirements. What I was told is that state taxes must be paid in the state in which the money was earned, which is the state from which her check is disbursed. The fact that she uses my address has no bearing on the requirement to pay taxes in the state in which her employer is located, and from which she will be paid, even though she is actually performing her work in Scotland via the internet. I also have a niece that teaches on-line classes for 8 U.S. colleges and universities throughout the U.S. She has to pay state tax in each state where a university is located. If you earn much money in more than one state, and those states have state income tax, you could find yourself in a pickle next April.