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Get your taxes done using TurboTax
Michigan does not tax non-resident remote workers. If your employer mistakenly withheld any MI income tax from your pay, then you'll need to file a non-resident MI tax return in order to have those taxes refunded. On that return you'll show the MI withholdings, but you'll allocate zero income to MI.
As a full year resident of NC, 100% of your 2022 income is taxable by NC, regardless of its source. You will not be able to claim an other-state credit on your NC return, because in actuality you owe no taxes to MI.
Note: my answer assumes you never physically worked in MI in 2022.
**Answers are correct to the best of my ability but do not constitute tax or legal advice.
‎January 26, 2023
9:19 AM
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