BillM223
Expert Alumni

Get your taxes done using TurboTax

Many states deal with the double taxation question by allowing residents to take a credit for taxes paid to other states on the same income. For example, you normally do your nonresident state first in TurboTax (CA in this case), and your resident state second (Maine). This allows TurboTax to calculate the nonresident state's tax, so it can be used in another state.

 

On Schedule A, Maine has "12. Credit for Income Tax Paid to Other Jurisdictions. Enter the amount from line 5 of the worksheet for the Credit for Income Tax Paid to Other Jurisdictions. (Enclose worksheet(s).)" In most states, this is how the credit is is handled.

 

In essence, you are paying tax to one jurisdiction or another, but you are not being double taxed.

 

So do CA first, then ME, and see if it doesn't work out this way.

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