topic Where to put portion of income in State tax filing

Where to put portion of income

AWorman — Fri, 04 Feb 2022 00:45:07 GMT

Hello,

Could use some support here please. I typically file multi-state taxes- IN where I live and KY where I physically was working. There was a change with my physical location due to offices closing in KY (like many others). I am now working via online at home in the state of IN for 2021. I am self- employed and receive a 1099-NEC from a business which is in KY.

I also have a separate LLC in KY that earned no income but had a small dedication for 2021 so I assume I still need to file KY for this and the LLET. Please correct me if incorrect.

Questions:

1. Do I now put all my portion of my income under IN and nothing under KY since I was not physically working in KY even though was paid by a KY 1099-NEC? Or do I file it in KY still?

2. Do I need to put capital losses in KY or IN? I don't think I put this under KY last year, not sure where it goes to be honest. (I can't seem to find the place it goes on the IN taxes either)

I paid all my estimated taxes to KY without considering this might change. This appears to be a refund if I move the income to IN.

Thank you in advance!

Amber Worman

Re: Where to put portion of income

AliciaP1 — Sat, 05 Feb 2022 22:58:14 GMT

I'll answer with your question numbers:

1. Yes, all your income now should be reported as IN income since that is your physical location. You should also still file a KY return this year for a refund of your estimated tax payments.

2. If you have capital losses to take in 2021 they will report on your IN return as this is your "home" state.

Please see Where do I enter form 1099-B? on how to enter your capital losses in TurboTax.

Re: Where to put portion of income

AWorman — Tue, 08 Feb 2022 00:21:24 GMT

Thank you very much. Have a blessed day!