DianeW777
Expert Alumni

State tax filing

Yes, it's possible you must file a Massachusetts (MA) return for the income received from their sources. File the MA return first, then TurboTax will know the credit you should receive on your resident state (assumes your state has income tax). TurboTax can help you with both returns.

 

Massachusetts (MA) Nonresidents

If you're a nonresident with an annual Massachusetts gross income of more than either $8,000 or the prorated personal exemption, whichever is less, you must file a Massachusetts tax return. Massachusetts gross income includes income from sources within Massachusetts. 

 

State Returns - Assumes both states require income tax returns to be filed: 

  1. Report the income on each state return that is from the nonresident state
  2. Report it on your resident state and receive credit for taxes paid to another state.

Credit for taxes paid to another state is allowed by a resident state when the same income is being taxed to another state.  Your resident state does not want you to pay tax twice on the same income. The credit that is allowed will be the lesser of:

  1. the tax liability actually charged by the nonresident state, OR
  2. the tax liability that would have been charged by your resident state

In most cases file your nonresident state first.

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