State tax filing

@jkaug 

Yes...(and maybe partially No)

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1) in the NC nonresident Income allocation sheet....none are actually "labelled" column B...but it is the last column, labelled as you noted:  In the Interview it's: "North Carolina Income While Nonresident" .....On the actual worksheet, it is labelled "Nonresident With Income From NC Sources"  (same thing though)

 

2)  If you were a resident of SC, and crossed the border to physically work inside NC, then $$ for wages in that column should transfer from value in box 16 of your NC-employer's W-2 form....IF....if you properly designated that W-2 amount as "NR NC Source Income" in the NC interview, on one page where the interview asked you to "allocate" that W-2 form's income.

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But...possible complication, since you mentioned telecommuting...For the majority of states, the W-2 income is considered taxable by the state you are actually physically located when you do that work.  Both NC and SC tax departments & laws follow that procedure.

 NC does not have a telecommuter tax law  (as some states do) where the work state claims the wages as being taxable, even if the employee telecommutes from a different state...THUS..

 

3) ......IF the time that you worked from home in SC, was significant....then your employer "should have" broken up your wages in boxes 15-to-17 as two lines...one for NC wages where you physically worked in NC, and a separate line for the time you worked at home as SC wages.   But your employer may not have done so....and if you are in this situation, things can get complicated.  (i.e, the wages for the time you telecommuted from your home in SC is not supposed to be included in the column for NC Nonresident wages)

 

Certainly, if your time working/telecommuting from home in SC was not significant, it's probably not worth worrying about....but if all of 2021 was telecommuting, then you employer "should have" relayed that info to payroll such that only SC taxes were withheld in boxes 15-to-17 of that W-2. 

......(AND...if you did telecommute from SC to the NC employer in for ALL of 2021, and ALL of boxes 15-to-17 is already listed only as SC income&withholding...then you don't file an NC nonresident tax return, since none of it was NC -taxable wages.)

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You'd have to describe your full working situation for that employer, and the actual W-2 form's box 15-to-17 allocations (NC vs SC) and working situation in more detail if you need additional clarity/help.

 

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*