Hi, I’m trying to file my mass non- resident form. I live in NH and work is MA so I understand that my earned wages from my MA employer are taxable but my question is about alimony. Me and my ex-spouse both live in NH. I receive alimony payments but I wouldn’t think I should have to pay MA income tax on those but turbo tax won’t let me designate them as “non-MA” amount in the form. So my questions is do I need to pay MA income tax on alimony payments received in NH as a NH resident?
No. MA taxes non-residents only on MA-source income, such as earnings from worked performed in Massachusetts. Alimony is not "MA-source" income.
As an aside, if the alimony order is from January 1, 2022 or later, the person who receives alimony does not count it as income on their Massachusetts taxes.
As TomD8 states MA does not tax alimony payments received by non-residents that are not MA source income. After entering the alimony received in the federal interview, you can "Edit/Continue" the MA nonresident return interview in step-by-step mode. "Update" the "Adjustments" section. In the allocation pages you will find the "Taxable Alimony" amount which you can enter into the "Non-MA" box to exclude it from MA taxes.