topic Lived in both PA and MA for 6 months each in State tax filing

Lived in both PA and MA for 6 months each

rgaglani — Mon, 15 Mar 2021 14:16:22 GMT

Here is my situation -

I lived in PA and worked for a PA employer up until May 11,2020. (PA state taxes withheld on W2).
I started working for a company in MA while still living in PA from May 11,2020 to June 30, 2020. (MA state taxes withheld on W2 and local taxes for PA withheld as well but no PA state taxes withheld).
I then moved to MA on July 1, 2020 permanently. (MA taxes withheld on W2).

My questions are:

1. Do I file a part year resident(July to Dec) as well as a non-resident(May 11 to June 30) tax form for MA.

2. Do I need to file taxes in PA for the 50 day period (May 11 to June 30) I stayed there but worked for a MA employer?

3. Which state do I pay tax to based on the interest income I earned in 2020?

Thank you!

Re: Lived in both PA and MA for 6 months each

ColeenD3 — Mon, 15 Mar 2021 16:55:02 GMT

There is no need to file two types of returns, the Part-Year Resident is sufficient. Prorate your interest for the amount of time you lived in each state.

Part-Year Residents of Pennsylvania. Part-year residents are subject to PA personal income tax on all income earned, received and realized from all sources when residents of PA. Part-year residents are also subject to PA tax on income earned, received and realized from sources within PA when they were not a PA residents. Part-year residents are not subject to PA tax on ordinary interest, dividends, gains, intangible property or gambling and lottery winnings from PA sources while a nonresident. Some exceptions apply; see below for additional detail.

As a part-year resident, you're generally taxed on all your income while you're a resident of Massachusetts, received from sources inside or outside of Massachusetts.

Massachusetts gross income is income earned from all sources while a Massachusetts resident.

MA PY

Re: Lived in both PA and MA for 6 months each

rgaglani — Mon, 15 Mar 2021 20:31:32 GMT

Thanks @ColeenD3,.

Follow up question, for the period when I was living in PA but working for an MA employer, which state should the tax be paid to? I just noticed that no tax was withheld by my employer for that 50 day period.

Re: Lived in both PA and MA for 6 months each

ColeenD3 — Mon, 15 Mar 2021 20:37:18 GMT

PA, the state where you lived. MA says," As a part-year resident, you're generally taxed on all your income while you're a resident of Massachusetts."

Re: Lived in both PA and MA for 6 months each

rgaglani — Sun, 18 Apr 2021 20:01:17 GMT

@ColeenD3

Can you please clarify which state I am considered a resident of for 2020 if I lived in PA till June 30 and then moved to MA starting July 1?

I got my returns but at this point looks like I paid double tax for that 50 day period I lived in PA but worked in MA.

Is it correct to say that I am still required to pay tax in MA since it is MA source income for the 50 days while I lived in PA.

I should still report that income to PA since I resided in PA during that time but request a credit from PA for the tax paid to MA?

Thanks again.

Re: Lived in both PA and MA for 6 months each

ColeenD3 — Sun, 18 Apr 2021 20:10:53 GMT

MA has a category for both resident and nonresident combined, which you were for one month.

◗ You are both a nonresident and part-year resident if you meet the criteria above for both the part-year resident and nonresident categories. If filing as a nonresident and part-year resident, the Schedule R/NR must be completed.

MA NR PY