I have a rental property in a different state i live in

[dgoalcien]

Hi,

I have a rental propery in a state the has state income tax,  but I live in another state, do I have to fill out a state tax return? The rental property was the only income i had from that state?

[Pius · Accepted solution]

Hi dgoalcien!

For tax year 2013, you'll need TurboTax Premier or TurboTax Home & Business to enter rental income and expenses. These versions support the Schedule E you'll need to report rental property.

First, if your rental property is located out-of-state, do this before entering your rental-related income and expenses:

1. Open your return.
2. Select Personal (Premier edition) or Personal Info (Home & Business edition) and continue to the Your Personal Info Summary screen.
3. Scroll down the Personal Info Summary screen until you see the Other State Income.
4. Click on the Edit/Update button next to Other State Income.
5. On the Did (Either of) You Make Money in Any Other States? screen, make sure you checked the box next to Yes, we made money in states other than <yourstate>.
6. Select the state your rental property is located in from the drop-down list, then click Continue.
   If your rental is located in Alaska, Florida, Nevada, South Dakota, Texas, Washington, or Wyoming, leave No Entry in the drop-down and click Continue.

This step ensures TurboTax sets up your state programs correctly when it comes time to file your state taxes. (In most cases, you'll need to file a nonresident return for out-of-state rental property. For more details, refer to Nonresident State Tax Returns)

Now -  let's get started!

1. Select Federal Taxes (Business in the Home & Business edition).
   In Online TurboTax Premier, click the bars at the upper left corner to show Federal Taxes on the selection list; enlarge the screen if needed to show the left side selection list. If you don't see the menu bars, you must first step through each of the interview screens in TurboTax.
2. Select Business Income and Expenses and in the next screen, click I'll choose what I work on.
3. On the Your Income Summary screen (TurboTax Premier edition) or the Your Business Income screen (TurboTax Home & Business edition), scroll down to the Rentals and Royalties group.
4. Click Start/Update next to the Rentals and Royalties line and step through the rental interviews to the Your <name> Rental Summary screen.
   If you have more than one rental entered, select the out-of-state property.
5. Click the Start/Update button next to each topic on the Your <name> Rental summary screen to enter your rental income, expenses, assets, depreciation, and vehicle expenses.

Out-of-State Rental Property

Don't forget to file a nonresident return if your rental property is located in a state that collects income tax. TurboTax can easily handle that for you.

Make sure you followed both sets of instructions above. When finished, click State Taxes to get started on your state tax return(s).

Tip:

Prepare your nonresident state return(s) before your resident return so that TurboTax can properly calculate the credit for taxes paid to another state.

http://turbotax.intuit.com/support/go/GEN12255

Let me know if this helps.

Thank you for using turbotax.

[amanda-victor200]

This is not working for me, please help. CA is reading my rental income that is from another state

[dssolo1]

Thanks for the info because I have the same question.  You said for "2013", this is the first time I have been asked by turbotax about rental property in another state.  I have had the property in MD (VA resident) for 6 years and have filed with turbo tax for over 10 years.  Is this new?  I have never file a MD state tax form. Will have to go back and amend state returns?

[tim2]

same question for me -- I'm not a resident there, and I've never done that before.

[wegetjunkmail]

Still an issue for those of using TurboTax 2017.