TurboTax knows this also, however there is SOME income that does not abide by the "reciprocal" agreement, such as capital gain.
In TurboTax, compute the Non-Resident Michigan return first, and allocate 0 (zero) income to that state if all your Michigan income was wages.
Next, do your Resident Illinois return and allocate all your income to Illinois.
The result should be refunded Michigan tax and Illinois tax due.
Local governments do not abide by state agreements, so you will still owe the local tax.
File Form MI-W4 with your employer.
Reciprocal States
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