I’m a WA resident and work from home for an Oregon company. Can Oregon tax my CARES 401k distribution?

[DanaB27]

No, Oregon does not tax your retirement distribution from the 401 k when you are a nonresident.

Please see 2020 Publication OR-40-NP page 6 "Income not considered from Oregon sources" for additional information.

[c_hudson]

I just filed last night and kept getting a hefty Oregon tax due while using TT deluxe. I called and spoke to an agent and he said the OR tax due was processed  correctly and OR had the right in taxing me on funds my OR based employer contributed to my 401k. Now I’m reading other people’s comments and they say OR can’t tax a WA resident. Do I need to file an amended state return now?

[ThomasM125 · Accepted solution]

I agree with @DanaB27 the retirement income would not be taxable since you are not a resident of Oregon. You would need to file an amended return in Oregon to correct the one you filed. You should wait a few weeks before you file your amended return, as it could cause confusion if you filed it before the original return was processed. 

[c_hudson]

Could I please make an appointment with you to help me through the amend return process? 

[c_hudson]

@ThomasM125  thank you! Would it be possible to please make an appointment with you to help me with the amend return filing online? 

[ToddL99]

Unfortunately, we can't accommodate "by-name" requests for assistance in preparing tax returns. 

TurboTax does, however, have options for you get direct assistance up to and including fully preparing your return.

TurboTax Live is an online product that lets you get help and guidance from a tax expert when preparing your taxes. When you use TurboTax Live, you can work with a tax expert whenever you need assistance. You can even talk to a tax expert live while you both look at your return.

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