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New Member
posted Mar 2, 2025 1:32:53 PM

resolved - please delete

resolved - please delete

0 3 689
3 Replies
New Member
Mar 2, 2025 2:08:04 PM

Resolved

Level 15
Mar 2, 2025 2:17:11 PM

The NC Part-year form will add everything to your NC income...but just at the start as you enter all your Federal income, deductions & Credits.

BUT

When Federal is fully entered.....and you start into your NC Part-year Q&A, you will be able to "allocate" what portion of each type of Federal income, was actually received....or credited to you during the time you were a resident of NC.    and that will reduce the NC taxable incoem to jsut the amount you received while in NC, and you will onkly get taxed on the lwoer amount.

 

OF course, this "Allocation" isn't done until you run thru the entire NC Part-year resident tax return

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On the Allocation pages....it may show two columns...one fore NC income while a resident...and one for NC income while non-resident...  The Second column is usually all zero's...and zeros need to be entered. 

 

There are cases where the second column does contain $$ amounts...that's for folks who still own rental property in NC that the get income from...or perhaps moved to TN , but still work in NC.......or own a business in NC, or work cross-border self-employed jobs in NC.

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On the NC D-400, you should see ALL your total income and deductions on lines 1-12b.

Line 13 is a decimal multiplier based on your income allocations (i.e. the % of income received in NC) 

Line 14 is then the product of line 12b x line 13......and is thus, the lowered amount of NC-taxable income you have for just the time you lived in NC.

And line 15 is the tax on line 14.

 

IF you were a full year NC resident, then the NC-taxable income on lines 12b and line 14 would be the same.

Level 15
Mar 2, 2025 2:17:43 PM

Figured it out huh?