1099 Contractor in Alaska with a Hawaii Client: Where Do You File?
Answer
One state at most. Alaska does not tax earned income; Hawaii does, but only what is sourced to Hawaii. For a contractor working entirely from Alaska, that source amount is normally zero regardless of where the invoices are sent.
Last verified
Two things make this pairing simple. Alaska levies no personal income tax, so there is no resident return; and Hawaii taxes nonresidents only on services actually performed inside Hawaii, which for a fully remote contractor is normally nothing.
Hawaii publishes no de minimis day count or dollar floor for nonresidents. Any Hawaii-source wage income above the state's general filing threshold requires a nonresident return, and that threshold is reset each year — check the current figure on the Hawaii Department of Taxation nonresident instructions before filing.
What you file
- 1Nonresident return · HawaiiForm N-15
File a Hawaii nonresident return only for income from services you physically performed in Hawaii. Alaska does not tax wage or self-employment income.
The two states, side by side
| Alaska | Hawaii | |
|---|---|---|
| Taxes wages | No | Yes — graduated |
| Reciprocity partners | None | None |
| Convenience rule | No | No |
| Nonresident return | Not applicable | Form N-15 |
| Credit for other-state tax | No income tax | Schedule CR |
| Nonresident safe harbour | Not applicable | None published |
| Local income tax | No | No |
| Revenue department | Alaska Department of Revenue — Tax Division | Hawaii Department of Taxation |
| Last verified |
The other direction
Reversing the commute does not always reverse the answer. Living in Hawaii and working in Alaska gives:Home state only — estimated payments.
Same two states, different situation
The withholding answer turns on how you are paid and where the work happens, not only on which two states are involved.
- W-2 commuter: Alaska → HawaiiWork state only
- Remote worker: Alaska → HawaiiNo state income tax on your wages
- Moved mid-year: Alaska → HawaiiOne part-year return — the state you moved to
Other Alaska pairs
Questions people actually ask
I live in Alaska and my client is in Hawaii. Do I have to file a Hawaii tax return?
One state at most. Alaska does not tax earned income; Hawaii does, but only what is sourced to Hawaii. For a contractor working entirely from Alaska, that source amount is normally zero regardless of where the invoices are sent.
Do reciprocity agreements help a 1099 contractor?
No. Every state reciprocity agreement in the country is an arrangement about wage withholding between two revenue departments, and a 1099 has no withholding to switch off. Whether Alaska and Hawaii hold an agreement makes no difference to a self-employed filer — sourcing rules decide the answer instead.
How current is this?
The Alaska and Hawaii rules on this page were last checked against Alaska Department of Revenue — Tax Division and Hawaii Department of Taxation on 2026-08-07. We re-check the full grid every December after state legislative sessions close, and re-check the convenience-of-the-employer states quarterly because that is where the rules move fastest.
Sources
Every fact above comes from the revenue department that publishes the rule. We do not cite secondary summaries, and we do not restate a figure we could not find at source.
- Alaska Department of Revenue — Tax Division — individual income taxaccessed 2026-08-07
- Hawaii Department of Taxation — individual income taxaccessed 2026-08-07