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)?

[MichaelL1 · Accepted solution]

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]

It does! Thanks!