Hello - My wife and I file jointly, we have 2 kids. Typically our situation seems straightfoward, however 2020 is bringing up a whole bunch of questions. On July 20 2020 we sold our home of 7 years and moved from Illinois to Alabama (rented home in AL, did not purchase a new one). So, we purchased the extra state through desktop TurboTax Deluxe) and are planning as filing as Part Year Residents in both states. My wife is a teacher, has W2 in Illinois and another W2 in Alabama. I received 1 W2 for the year, working for the same company throughout.
- Although I changed my address with my employer in late July, I paid IL state income tax on my paychecks through all of 2020. Is this okay or something I need to rectify with my employer?
- I've had the same employer the whole year (1 W2 for 2020) and was going to split my income as 55% earned in IL and 45% in AL (based on number of days lived in the year in each state). Is this the correct thing to do? Wife would report W2 from the IL school district as earned in IL and the same for AL.
- For Alabama - do we need to file both Form 40 and Form 40NR? If so, it looks like TurboTax does not support this so how would we file both forms?
- Typically we receive $500-700 each year from IL. This year the result is much higher after filling out all forms. Also, we owe an extremely high amount to AL. I'm wondering if this is common and if someone is able to review this for us.
It looks like for TurboTax Live a customer can order a professional to overlook their returns - is this same type of service available for TurboTax Deluxe on my laptop? Thanks in advance for ANY help.
