1) - I am tagged as a CO non-resident and my wife is tagged as a resident.
- The only subtraction as a non-resident is my IRA distribution. But the tax is not calculated on my wife's income only. Line 32 of Form 104PN has the Federal MAGI. Line 33 has the CO MAGI (my wife's CO income minus my IRA distribution (?)). On Line 34 a percentage is calculated by dividing CO MAGI by Fed MAGI. Line 36 applies that percentage to Line 35 (what appears to be tax calculated on income from both my wife and me, i.e., Form 104, Line 7 has Colorado Taxable Income as our Federal Taxable Income minus my IRA distribution amount).
2) - Michigan return has same status on Federal (i.e, I'm a full year resident of Michigan; my wife is full year resident of Colorado).
- Line 13 is correct. Line 17 correct based on exemption allowance calculated. Line 18a has Colorado Tax from CO 104PN, Line 36. Line 18b provides a credit.
- Schedule NR reflects only my Michigan income when adjusting the standard deduction
