What should I file for my wife's small income in another state?

[willwillzhang]

My wife has $4500 income from her school which she is studying on her Graduate degree and worked as a student assistant in the meantime.

I am planning to file as Married as Joint so that can get more deduction, but what kind of return should I file for my wife's state? I'm not living in that state, only my wife go to school there. And also, can we don't file it as I only see my wife only pay $8.7 state tax which can be ignored.

[KatrinaB]

What state did your wife earn the income in?

[willwillzhang]

Maryland

[KatrinaB]

Question 1: Is she required to file a nonresident Maryland return.

Yes, she must file a Maryland nonresident return if you are required to file a federal return.  

According to the Maryland Department of Revenue, a taxpayer is required to file if: 

You are a nonresident of Maryland and you are required to file a federal return and you received income from sources within Maryland. If your federal gross income is more than the federal minimum filing requirement for your filing status, you are required to file a Maryland return, even if the income attributable to Maryland is less than the federal filing requirement.

Please view the Maryland link below for more information.

https://forms.marylandtaxes.gov/current_forms/nonresident_booklet.pdf

Question 2: How to file this type of state return when filing as married filing jointly. 

You should file as married filing separately on the state return since you have separate residency status. Follow the directions in the TurboTax FAQ below to do so.

https://ttlc.intuit.com/replies/3301995 

[willwillzhang]

No, your answer is completely wrong, we are the resident of Virginia, and if we file separately, we lost lots of money. No one will file separately for a small income from another state.