One follow up.
According to MN tax laws, it appears that my daughter would have to file a MN tax return if her gross income is at or above $12,525. Are they referring to Federal AGI? Or is it the amount in box 16 of the W2? This is confusing me as she received two W2's from her employer as withholding was switched from ND to MN during the year. Her MN state wages in total are well under the 12,525 listed above, but her Federal AGI is over that.
Essentially the issue is she appears to need to pay in to both federal and state and I need to make sure I am getting this right. I'm not sure if the MN tax should be based off her total federal AGI from both ND and MN earnings, or just the portions listed in box 16 of W2? Sorry if this is confusing.
Typically my wife and I claim her as a dependent for the education credits, but we may need to play around with that if she has a big tax bill. Is that easy to do in Turbo Tax Premier?
Thanks!
