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Level 1
February 15, 2022
Question

I filled out an IN return since I worked there and lived in KY. Line 3A on my side of the return for the AGI will not flow over and equal line 1, but my Spouse's will.

  • February 15, 2022
  • 1 reply
  • 3 views
On form IT-40RNR Line 1A under (Yours (A)) I have my gross income, and it is supposed to flow automatically into 3A, which is IN AGI. But it isnt flowing for my side only my spouses'.

1 reply

Level 15
February 15, 2022

If there’s an entry on Line 2A of Form IT-40RNR, this would be the issue.  

Any deductions claimed on Schedule 1, Part 2 of your federal return that would apply directly to your Indiana earned income would be entered on this line.  This deduction could include educator expenses, if they’re directly related to the income reported on line 1 of IT-40RNR.

You can preview Form IT-40RNR and Schedule 1, Part 2 of your federal return to see what’s on them – see the TurboTax Help article How do I preview my TurboTax Online return before filing? for guidance.

Also see Form IT-40RNR, found at 2021 Individual Income Tax Forms - DOR, for instructions relating to the form.

Alumni - Champ
February 15, 2022

IN and KY have tax reciprocity for W-2 income.  That means that work income earned in IN by a resident of KY is taxable only in KY.  It is not subject to taxation by IN.

 

KY residents who work in IN should submit IN Form WH-47 to their Indiana employer, certifying that they are not subject to IN withholding.  You can download the form here:

https://www.in.gov/dor/tax-forms/withholding-tax-forms/

**Answers are correct to the best of my ability but do not constitute tax or legal advice.