1099-R filed in wrong state

[TaxesJWD]

I am married, filing jointly and military. My wife had an issue a few years ago with her prior employer setting her taxable state as MD instead of our resident state of GA. This year she quit her job for another employer, and cashed out her retirement plan. The 1099-R we received states the income state tax was paid to MD, instead of GA. This is an error.

I read through a few similar questions, and I filed a non-resident tax form for MD with "0" taxable income to recoup the incorrect state tax. However, I finished filing and found nowhere to somehow have this amount translated to a payment to GA. Obviously GA state tax was not taken. I will be getting the money that was sent to MD back, but now what to I do to get the correct funds where they were supposed to go (GA) ???

I see one answer says report the retirement 1099-R info on the GA state return but never got the option to do that. Do I need to amend my return?? I have already pre-filed.

[MaryK4 · Accepted solution]

Unfortunately, Maryland will not send the refund to Georgia, so you will have to wait until they send it to you (direct deposit if you provided that information). 

You would need to report the 1099-R income to Georgia, so if you already filed, check the Georgia tax return- TurboTax should have included it even if you reported it to Maryland because you were Georgia residents. (Look for Form 500 Schedule 1).

You will also want to make sure you did not get a credit for tax to paid to another state (Form 500 Line 18)- this is if you filed Maryland as Resident.

[TaxesJWD · Accepted solution]

I just went back and reviewed the final return document. It does appear that everything has been sorted out. The 1040 shows a number for total taxable income including what was taxable from the 401k. This same number is populated on the form 500 for GA.

And line 18 on the form 500 is blank since I filled out the MD return as a nonresident.

All seems good do go. I appreciate your guidance!