Am I exempt from NJ tax filing having NJ sourc rental income loss as a NJ Non Resident?

[michaelkaiser250]

I am on a foreign work assignment in Australia and rent out my NJ home temporarily and another rental property which are located in NJ. I made a combined loss. I was a NJ-NR for 365 days in 2018. Turbotax states that I do not need to file a NJ state tax return despite the fact that I have NJ source rental income. Is that correct?

[CarolynM · Accepted solution]

Yes, you are not required to file a New Jersey Non-Resident Income Tax Return on your rental property that has no income. 

Without a profit, there is no New Jersey sourced income to report that requires filing.

However, if you collected rent and have no income because the expenses exceed the earnings, you may file a New Jersey state tax return to avoid future inquiry from the state taxation office.