Do I have to file tax returns in more than one state?
Below are the most common situations for needing to file multiple state returns. TurboTax Online supports the ability for customers to file as many state returns as needed.
You worked in a state that you're not a resident of
Income gets reported to the state it's earned in. Generally, this means out-of-state workers have to file a return for their work state in addition to their resident state (excluding reciprocal agreements and non-income tax states). Examples include:
Out-of-state students who earn income in the state where they attend school
Employees who regularly commute across state lines, like New Jersey residents who work in New York
Employees who perform work in other states on assignment
Typically, you'll file a nonresident state return for the state you worked in and pay that state's tax. You'll then get a credit for taxes paid on your resident state return.
You own property or have business interests in another state
If your out-of-state business or rental property generates income, you'll need to file a nonresident return in that state.
But even if it doesn't, the state may require you to file a return anyway, or you might file to take advantage of state-specific credits, such as property tax credits. Check with the state Department of Revenue for state-specific info.
Here are some common situations where you don't have to file a second state return:
Interest from an out-of-state bank or account
If you earned money in one of nine states that don't collect income tax, but live in a state that does, you need to report the income on your resident state return.
Your resident and work states have a reciprocal agreement.
You moved to a different state during the tax year
If you moved to a new state in 2025, you'll file a part-year return for each state you lived in during 2025 (if those states collect income tax). This doesn't include temporary moves for short-term work or school if you intend to return to your home state.
You can also see which of the situations below apply to you to learn more.
You moved to a different state and started working there after moving.
This is the most common situation. Let's say you've lived and worked in New York for years.
In September, you moved from New York to Pennsylvania. After moving, you started working for a new employer in Pennsylvania.
This year only, you'll file part-year returns for both New York and Pennsylvania. Next year, you'll only need to file a Pennsylvania return.
You started working in a different state. Later in the year, you moved to that state.
You're a New York resident who'd been working in New York. You quit your job in late March. In April, you started working for a different employer in New Jersey.
In September, you moved to New Jersey to save on living expenses and shorten your commute. You would file three returns:
A part-year New York return covering income earned January through August (including income earned in New Jersey)
A part-year New Jersey return covering income earned September through December
A nonresident New Jersey return covering income earned while you were still a New York resident (April through August)
You should prepare your returns in this order:
Nonresident New Jersey
Always do any nonresident returns first.
Part-year New Jersey
Part-year New York
Next year, you'll just file a resident New Jersey return.
You and your spouse moved to a new state. One works there, but the other still works in the old state.
Let's say you and your jointly-filing spouse were New York residents until July. Then you both moved to Vermont.
Your spouse now works in Vermont, but you still commute to your New York job. You would file three returns:
A jointly-filed part-year return for New York covering income earned January through June
A jointly-filed part-year return for Vermont covering income earned July through December
A nonresident New York return for yourself, covering the income you earned as a Vermont resident (July through December)
You'll want to prepare your returns in this order:
Nonresident New York
Always do any nonresident returns first.
Part-year Vermont
Part-year New York
Next year, assuming nothing changes, you and your spouse would jointly file a Vermont resident return along with your nonresident New York return.
You moved to (or from) a state that you didn't work in.
Maybe you retired and moved to a different state to enjoy your golden years. Or maybe there weren't any jobs in your former state, so you packed up and moved to a state where there were.
If you moved to a state and had income (including retirement income), you'll need to prepare a state return for that state. If you didn't have any income at all in that state that year, you wouldn't be required to file a state tax return.
File a part-year return for the state where you earned your income. If you had income in the second state, file a part-year return there as well.




