topic Re: State tax in State tax filing

State tax

as47 — Mon, 15 Mar 2021 03:09:29 GMT

I'm filing a Kansas tax return with turbo tax and it is making me a part time resident when I worked else where for two months and returned. The first two sentences in determining a resident say I should be a resident but TT is making me part time. How do I get this corrected.

Re: State tax

DavidD66 — Mon, 15 Mar 2021 03:45:38 GMT

It sounds like you told the program that you "lived" in a state other than Kansas. If you worked temporarily in another state, you should not indicate you lived there. You should indicate you made money in another state, but never lived there.

You can change your state residence status, to do so:

Click on "State" in the far left of your return.
Click on "Your State Returns"
Click on "Edit" or "Continue" for the state you need to change
Click through until you get to "We've Recommended a Residency Status"
Change as necessary.

For the state you worked in for two months, indicate you were a non-resident, not a part year resident.

Re: State tax

as47 — Thu, 25 Mar 2021 17:11:27 GMT

KS is using my federal AGI which includes CA wages, can they tax that income?

Re: State tax

AmyC — Sat, 27 Mar 2021 00:40:08 GMT

Yes, your resident state taxes all income but gives a credit for tax paid to CA.

You will need to prepare the states in a special order. You may need to delete both states and begin again.

First, prepare your non-resident CA return. This creates your tax liability for the non-resident state. How do I file a nonresident state return?
THEN prepare your resident state KS return and it will generate a credit for your income already being taxed in the non-resident state.
The credit will be the lower of the state tax liabilities on the same income. You may owe your resident state.

It isn't possible for the program to create a credit before it knows the liability. Your returns may be wrong if you do not prepare the states in this order.