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New Member
posted Mar 2, 2025 4:08:21 PM

DO I HAVE TO PAY TAXES IN MY HOME STATE ON INCOME EARNED WHILE I WAS A STUDENT AND WORKING IN ANOTHER STATE?

I AM A KENTUCKY RESIDENT ATTENDING COLLEGE IN COLORADO. I COMPLETED A CO NON-RESIDENT RETURN. WILL I BE TAXED ON THAT INCOME IN KENTUCKY TOO

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2 Replies
Level 15
Mar 2, 2025 4:14:52 PM

@ybarzabal-zach 

 

1)  Yes...it is included in your KY income, and a tax calculated for it.

 

2) You get a credit on your KY-Resident income tax return for the tax that CO kept (if CO refunded any)....so it isn't really double-taxed.......but if KY has a higher tax rate, you will owe KY the difference.

Expert Alumni
Mar 2, 2025 4:17:47 PM

Yes, however, your resident state, KY, will give you a credit on your KY return, for taxes you paid on your CO return.  This will reduce or eliminate any double taxation.  You should prepare the nonresident state (CO) first, so TurboTax can automatically apply the credit on the KY return.   

 

But if you have already done your KY return, go back through it and make sure you get the credit for taxes paid to another state.   When you get to the screen below (Credit for Tax Paid to a\another State), answer YES.