Military spouse stationed in VA and I work in VA aswell, but we both live in NC. We want to file MFJ but how do we file state taxes?

[Marty1738]

My wife is stationed in VA but her HOR is NC, I work in VA aswell and we bought a house this last year in NC. We want to know how to file state taxes if I work in VA. Do I just add my state tax forms onto the MFJ along with her NC taxes? Or do we file state taxes separately?

[ThomasM125]

For Virginia, you can file a joint non-resident return or you can file a separate non-resident return there for just yourself. You would have to try it both ways to see which is best. If you file jointly, you would get credit on your North Carolina return for taxes paid on the same income in Virginia so you wouldn't be double taxed.

To do the separate return in Virginia, you would need to prepare a separate federal return in TurboTax just for yourself in order to generate the state return. Then, you just file the state return. You may find it better to use the TurboTax desktop product as you can do multiply returns with it.

[Marty1738]

Thanks for the quick answer! I do have another question, how do I file the state returns separately from the federal? We want to do it on the online version.

[MaryK4]

You would have to prepare a separate return in TurboTax then Print and file the state tax return only.  You will not be able to e-file this return.  @Marty1738