Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
Imen
New Member

Is it OK to deduct Out of state rental income (GA and SC) that somehow got included in the NC income (it used the the total federal income)?

 
1 Best answer

Accepted Solutions
MichaelL1
Level 15

Is it OK to deduct Out of state rental income (GA and SC) that somehow got included in the NC income (it used the the total federal income)?

Your resident state taxes you all on all income regardless of where earned.

Nonresident states tax you on only income earned there.

If taxes are paid to nonresident state, then you have a credit for taxes paid to another state on the resident state return.  

Confusing, but hope this makes sense to you. 

View solution in original post

2 Replies
MichaelL1
Level 15

Is it OK to deduct Out of state rental income (GA and SC) that somehow got included in the NC income (it used the the total federal income)?

Your resident state taxes you all on all income regardless of where earned.

Nonresident states tax you on only income earned there.

If taxes are paid to nonresident state, then you have a credit for taxes paid to another state on the resident state return.  

Confusing, but hope this makes sense to you. 

Imen
New Member

Is it OK to deduct Out of state rental income (GA and SC) that somehow got included in the NC income (it used the the total federal income)?

It does! Thanks!
Dynamic AdsDynamic Ads
Privacy Settings
v