Because you were a part-year resident of 2 different states during
2016, you will need to file a part-year state income tax return in both states.
You
will need to divide your wages based on the time in each state and report
these amounts separately on your part-year resident state income tax
returns of each state.
However since some of your income while a
part-year resident of state 2 is considered state 1-source income, you will also
need to report your state 1-source income (while you lived in state 2) on your part-year
state 1 resident state income tax return.
It may
seem like you are being double taxed on your state 1- source income by needing to
include it on both your part-year state 1 and state 2 state income tax returns but you
will be able to claim a state tax credit on your state 2 part-year return for taxes
paid on your state 1 part-year state income tax return related to your state 1
-source income.
You
will want to work on your state 1 part-year resident return first so that you can
determine the amount of state tax credit you will be able to take on your state 2
part-year state income tax return.
If
your employer only withheld taxes from state 1, you may owe taxes in the
state for which no state withholdings were taken out but you may get a refund
in the state where extra withholdings were taken out.
Check
below for more information about filing a part-year state tax return (Please
select "see entire answer" to see full answer)
https://ttlc.intuit.com/replies/3302008
