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State tax filing
Yes, you have to file taxes in both states. You file a Georgia nonresident return because you work in Georgia. Alabama will also tax all of your income because you are a resident of Alabama. However, AL will give you a credit for the taxes you must pay to GA for the income you earned in Georgia. For this reason, you want to prepare the Georgia return first so that Turbo Tax can correctly calculate the credit on your Alabama return
As far as paying taxes to both states, it depends. If you didn't have enough Georgia tax withheld on your paycheck, then you would owe some to Georgia. And if your tax liability in Georgia is less than what it is in Alabama, your credit for Georgia would still leave you a balance due to Alabama as well.
However I recommend deleting the Alabama return and completing the Georgia nonresident return first. Then start the Alabama return. You may still owe Alabama even with this, but hopefully it is very little if that's the case.
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