I'm a Alabama resident but my job is in Louisiana I paid Louisiana taxes because my job only offer w2 for Louisiana so they kept my taxes and still have to pay alabama

damienhurd — Sat, 01 Jun 2019 02:00:35 GMT

Usually I pay Louisiana state taxes back and they give it back and pay alabama,but this time they kept 700 and sent me 300 and said I still have to pay alabama,is this normal

Yes, it sounds normal. The state where you work (Louisian...

ChristinaS — Sat, 01 Jun 2019 02:00:36 GMT

Yes, it sounds normal. The state where you work (Louisiana) gets to tax you. The exception to this is when your home state (Alabama) and work state have a reciprocity agreement, or when the state you work in does not have personal income tax. Louisiana does have personal income tax, and Louisiana and Alabama do not have a reciprocity agreement.

The only way you would get everything back from Louisiana is if your income there was so low that you didn’t owe tax. Getting back only a portion of what you paid to the state you work in is incredibly normal. It is also correct for your job to have only withheld Louisiana tax. If they withheld Alabama tax for you instead, that would be a problem.

As a resident, you always have to file an Alabama return. On your Alabama return, you get a credit for some or all of the taxes that you paid to Louisiana. This will keep you from paying taxes on the same income twice. This is also a normal thing for state taxes.

It’s entirely possible that you still owe a little bit to Alabama, especially if the effective tax rate there is higher than Louisiana's. You do want to verify that you are getting the credit for taxes paid to Louisiana on your Alabama return:

· Click on State taxes tab, and verify that you see both Alabama and Louisiana under Your State Returns- make sure Louisiana is listed as Nonresident.

· Edit the Louisiana return first. ***Make sure you come to the screen “Louisiana Income Allocation.” In the box for Louisiana, ensure that you have allocated the amount earned in Louisiana to that state. The amount would not be $0, but should be from box 16 of your W2.*** Finish the rest of the Louisiana questions.

· After Louisiana, go back to Your State Returns and edit Alabama-Resident. Going through that return, you will eventually land at the screen “Summary of Taxes Paid to Other States”. You should see the State of Louisiana listed. This credit is keeping you from being taxed twice.

You could very well owe a bit to Alabama, and you are getting credit on the Alabama return for what you paid to Louisiana.

topic I'm a Alabama resident but my job is in Louisiana I paid Louisiana taxes because my job only offer w2 for Louisiana so they kept my taxes and still have to pay alabama in State tax filing

I'm a Alabama resident but my job is in Louisiana I paid Louisiana taxes because my job only offer w2 for Louisiana so they kept my taxes and still have to pay alabama

Yes, it sounds normal. The state where you work (Louisian...