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Level 1
June 6, 2019
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I lived in OK fulltime but had to work in NC for almost 2 months.Do i need t adjust my reported wages on OK return which =s to 1040 FED wages minus NC state wages?

  • June 6, 2019
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Best answer by DianeW777

Yes in a manner of speaking.  Once you have completed your nonresident return the income and tax reported there will be recorded on your resident return.

While you are in the resident return watch for the "credit for taxes paid to another state". (see attached image example, each state might look a little different)

  • Nonresident State:  All income earned while working in this state are required to be taxed.
  • Resident State: All worldwide income is taxed to your resident state.  If you pay tax on the same income to another state then you can choose to receive the "credit for taxes paid to another state".  Your resident state will credit the amount of tax paid to the other state or their own tax that would have applied, whichever is lower.  This eliminates double taxation on your income.

1 reply

DianeW777Answer
Level 15
June 6, 2019

Yes in a manner of speaking.  Once you have completed your nonresident return the income and tax reported there will be recorded on your resident return.

While you are in the resident return watch for the "credit for taxes paid to another state". (see attached image example, each state might look a little different)

  • Nonresident State:  All income earned while working in this state are required to be taxed.
  • Resident State: All worldwide income is taxed to your resident state.  If you pay tax on the same income to another state then you can choose to receive the "credit for taxes paid to another state".  Your resident state will credit the amount of tax paid to the other state or their own tax that would have applied, whichever is lower.  This eliminates double taxation on your income.
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