I live in Illinois but work in wisconsin. My W-2 says $4671 was withheld state income tax block 17. I'm trying to file on turbo tax and it's telling me I owe Illinois $4303. I thought since there was reciprocity I would only have to pay Illinois. Please explain. Am I supposed to put 0 in the Wisconsin non resident filing? If so how do I get the withheld money to count for Illinois? Please help.
there is reciprocity which means for wages you only pay income taxes in your resident state. but what state code is in box 15? If it is WI, your employer withheld for the wrong state. you'll need to file a WI nonresident return to get those taxes back and you will owe for Illinois. then in TurboTax you have to check you had income in other states. in the WI 1NR make sure column B Wisconsin income shows zero for wages
if the state code is IL, you should not be having an issue unless you entered something incorrectly.
