I’ve earned 1099 income in three states: Texas (where I reside), Michigan, and Montana.
I’ve entered my 1099 income in my federal taxes. I’ve also entered the portions I earned in Michigan and Montana. In both cases, I filed as a non-resident.
Let’s say I made 150k overall, with 100k in Michigan and 50k in Montana, and <1k in Texas.
For Michigan, when I look at the “Tax Summary" view, it shows I have a federal AGI of ~150k, then a Michigan subtraction of ~50k, then lists a Michigan taxable income of around 100k (I’m rounding these numbers and excluding the exemptions that have also been figured in correctly). My Michigan tax is what I’d expect from previous years.
For Montana, I enter the Montana portion of my income (the 50k) and click through all of the screens (none of which pertain to me). When I get to the Montana tax return summary, it says my Montana adjusted income is around 150k. This is the same amount that appears in the “Tax Summary” view. The 50k that I entered is not reflected in the “Reductions to income” as it was with Michigan (I would expect that reduction to be around 100k—it’s just BLANK).
In summary, I’m a Texas resident earning income in three states. Texas does not have state income tax. In the Michigan state return, I am only taxed on the portion of income I earned in that state. In the Montana return, I am taxed on all my income, including what I earned in Michigan and Texas (and I’ve double checked I’m not inadvertently filing a resident return). Is this a bug in the TurboTax Montana state download? I didn’t have this problem last year.
