Many people ask whether the IRS or state agencies will review your driver’s license when filing your tax return. Under normal circumstances, the IRS will not examine or investigate your driver’s license. The IRS has a vast amount of work, and checking Alachua County, Florida, to validate your license is not part of their routine process. There are simply not enough government resources for this kind of investigation.
However, if you face a residency audit, your driver’s license might come under scrutiny. States may look at various factors to determine your residency for tax purposes, including:
- Lease agreements and evidence of bona fide residency elsewhere
- Reciprocity agreements between states (e.g., CA and OR, DC and MD)
- Your driver’s license and utility bills
Having a driver’s license alone may not suffice if you claim residency in Florida but conduct all banking activities in Bethesda, Maryland. Ensure you have a signed lease in the state where you claim residency and other supporting documents.
This article has been updated to reflect changes due to Covid and the rise in remote work. We serve clients across all 50 states and specialize in multi-state returns, ensuring you avoid double-paying state taxes. For assistance with your drivers license tax return or to schedule a consultation, please contact us.