I am a Maryland resident with Virginia rental property and $8,376 rental earnings in 2021 (no other Virginia income). Maryland & Virginia have reciprocity, so I expected to pay taxes on the Virginia rental income thru my Maryland form 502 tax return. expected to file a Virginia Form 763 Nonresident return to show the income and tax payment thru Maryland. However, TurboTax Premier 2021 says I need to file the Virginia 763 showing $230 tax due to Virginia and that I need to file a Virginia 760C for Underpayment of taxes. My TurboTax Maryland 502 form shows the rental income as a notation in cell 1e (Income < $10,000) and $230 Credit to my Maryland income tax. Am I reading TurboTax correct that I need to eFile to Virginia with a $230 payment and eFile to Maryland where the $230 payment is a credit ? Shouldn't it be the other way around?
