LeonardS
Expert Alumni

Investors & landlords

Generally, when you have rental property located outside your resident state you pay tax to the state where the property is located and receive a credit from your resident state for the tax paid to the nonresident state.  If the credit received does not cover the tax on the rental property for your resident state you will be taxed for the difference.

 

In your situation, Florida does not have an income tax so you have not paid any tax to Florida on your rental income.  Therefore, you will not receive a tax credit from IL and all your rental income from Flordia will be taxed by IL

 

 

 

 

 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"