Hi AmyC - got it and thanks for the clarification. I mixed up the terms between withholdings and tax liability (i.e. paid to other state).
Not sure why TT did not give me an error the first time through but looking into the Forms View there was a yellow highlighted box where I entered "0" for NE tax liability and that seemed to correct things.
So, I take it no need to repeat this for IA because of the reciprocal agreement on W2 or NEC wages.
I'm still confused then why TT is adding IL Sch. CR because my daughter is getting refunds from both states after filling those respective forms.
The IL CR form has some entries populated up through page 2 and ends there with no impact to the end result for IL tax liability.
Why does it need to figure out Step 2 column B income portions if there was no tax liability from NE anyway?
I do know that it populates on IL CR, Line 1, Column B for example $12,602, the entry from the NE Sch. III Line 1 (note this income is entered by me there per the State copy of the W2 and box 16 has NE).
Nebraska Schedule III — Computation of Nebraska Tax FORM 1040N Schedule III 2023
Nebraska Schedule III — Computation of Nebraska Tax for PARTIAL-YEAR RESIDENTS AND NONRESIDENTS ONLY
• You must complete lines 1 through 14, Form 1040N. If you have state, local, or federal bond interest or other adjustments, complete Parts A and B of Nebraska Schedule I. Use Schedule III to calculate your Nebraska tax liability.
• You do not have to provide a copy of other state returns when filing Schedule III.
__________________________________________________________________________
1 Income derived from Nebraska sources. Include income from wages, interest, dividends, business, farming,
Nebraska unemployment payments, severance payments connected to Nebraska employment, partnerships,
S corporations, limited liability companies, estates and trusts, gain or loss, rents, royalties, and financial
institution tax credit amount. If there is no Nebraska income or loss, enter -0-.
a List type: Company X b Amount: $12,609
List type: Amount:
Total income derived from Nebraska sources. Enter total of lines 1b................................................................................. 1 $12,609
Sorry for the cut and paste as I had no way of inserting the form image.
I do have a separate question regarding the CR form if needed but will ask only pending if after a response to keep it less confusing.
Thanks, again.
