Form 8915-E, which is needed to have the early distribution penalty waived and spread the taxation of the distribution over three years, is now available, which will clear the Check this Entry diagnostic. Try closing the program and the browser. Re-open in Chrome to see the update in the system.
Check that your My Info section includes the move if there was earned income in each state. Return there by clicking on My Info in the left menu.
As a part-year resident, income must be split between your states of residency. Unearned income will be taxed in the state where it was received. This will be done by allocating the income in the state interviews when prompted.
To file a part-year tax return, always end with entering the state where you lived on December 31. If you did not, follow these steps:
- Delete both states, one at a time:
- In TurboTax Online
- In TurboTax CD/Download
- Re-add the states in the sequence described above, ending with where you were living December 31.
For more information, see:
What is Form 8915-E Qualified 2020 Disaster Retirement Plan Distributions and Repayments?
How does TurboTax calculate taxes on part-year returns?
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