State tax filing

@DavidD66   @bdplayer81 

 

Be careful here!    No....you do not report all of your income as IL income !

 

IL and WI have a reciprocal tax agreement, whereby a resident of WI, who is working in IL should have ALL of your IL wages are to be reported as WI income.   You get no WI credit for taxes paid to IL.

(not sure about what to do with the $9.27 though). 

 

The employer has done it properly if box 1 of the W-2 is also listed for WI in boxes 15,16,17.  Or it may also work OK if they didn't have a WI state line at all, as long as all the box 1 $$$ of income ends up being included in the WI state tax return.   

 

You will owe WI taxes on all that income, and if the IL employer cannot withhold WI taxes for you, you will need to start paying WI quarterly tax estimates....to avoid underpayment penalties at the end of the year.

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Like I said though, if boxes 15,16,17 have an IL state line for $9.27 of IL wages, I'm not sure what might be needed.  Personally, I'd just ignore the IL nonresident tax return for that, but am a bit unsure.

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@TomD8   @xmasbaby0     

Y'all are conversant on IL.  Ignore filing non-resident IL in this situation?

 

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