ztanwine
New Member

Why did I get taxed by MA when I was active duty Jan-Jun 2016 and an IL resident at the time?

 
ToddL
New Member

State tax filing

Was MA your state of legal residence, i.e. showing as your Home of Record in DFAS boxes 15-17? Were you stationed in IL?
ztanwine
New Member

State tax filing

Thanks for responding! No, I was not a MA resident at that time. Since I was active duty and living in Oklahoma at the time, I was claiming IL as my state of legal residence.  My home or record at that time (box 15) shows IL.  Regardless of me inputting that in Turbo Tax, after I submitted it still showed I owed MA state tax.
ToddL
New Member

State tax filing

Did you ever live in MA? If so, when? Just trying to figure out how MA appeared on your return.
ztanwine
New Member

State tax filing

I currently live in MA.  I have 2 W-2.  One from when I was active duty in OK (Jan-Jun) and one where I was a MA resident in the air national guard (Jun-Dec).  I understand why I'm being taxed on my guard W-2, but confused why I am on my active duty W-2.
ztanwine
New Member

State tax filing

Thank you so so much!
ToddL
New Member

State tax filing

My pleasure! Let me know if you run into any problem with this.
ToddL
New Member

State tax filing

You need to file PY resident returns for IL and MA, and identify the sources of your 2016 incomes appropriately. The state interviews will have the necessary screens to confirm or enter those amounts (AD pay to IL, MA pay to MA).

Active-duty military are considered to live in their state HOR no matter where they are stationed. Their active-duty pay is considered to be earned in their state HOR. 

When you complete the Personal Interview:

  1. Select "Massachusetts" as your state of residence (as of 12/31/2016);
  2. Answer "Yes" when asked if you "Lived in another state in 2016?" The other state would have been "Illinois"
  3. When asked if you "Earned money in another state?", answer "Yes" (that state would have been Illinois)

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