chunmi
New Member

I was living and working in Japan and moved to Penn in December. I already paid my foreign income tax so why am I being charged Penn State Income Tax on that money?

A little more detail:  I do not have to pay federal taxes on that money because of the tax agreement between the two countries and the foreign earned income exclusion.  However, Turbo Tax seems to be calculating all my yearly income as being earned in the State of Pennsylvania when I've only been here for a month, and was unemployed for that period.  Plus I had already paid income+residence taxes on that money in Japan.  Is there some way to fix this issue with turbo tax?  Or am I missing something regarding Pennsylvania taxes?