Filing for health insurance in one state working in another

[hayleehhx]

For 2021 I lived and worked in AK, but for a couple months early in the year I stayed with my partner in NC and obtained health insurance there (BCBS). The only income I’ve made was working in AK, none in NC. Do I need to file a NC state return form because of the health insurance? I could not find anything that tells me if I could have NC insurance as a non resident and therefore not file. I have a 1095 form from them as well if that helps.

additionally but somewhat unrelated I made a small sum of money via PayPal goods/services. I received a 1099 from them. My address listed there is in MA (parents house) but the only money I’ve made via PayPal in 2021 came to me again while in AK. Does that address listed on there affect where to file or can I just file that income in my AK/Federal return. I hope these questions were clear enough.

Thank you.

[JohnB5677]

For 2021 I lived and worked in AK, but for a couple of months early in the year I stayed with my partner in NC and obtained health insurance there (BCBS). The only income I’ve made was working in AK, none in NC. Do I need to file an NC state return form because of the health insurance?

• No, you do not have to file an NC tax return.  Where you obtained the insurance is of no consequence.

I could not find anything that tells me if I could have NC insurance as a non-resident and therefore not file.

• The only issue for filing a return would have been if you earned money in NC, and you did not.

I have a 1095 form from them as well if that helps.

• A 1095-(B or C) does not have to be posted.  A 1095-A would be, but you said you have BCBS, not  Marketplace insurance.

I made a small sum of money via PayPal goods/services. I received 1099 from them. My address listed there is in MA (parents' house) but the only money I’ve made via PayPal in 2021 came to me again while in AK. Does that address listed on there affect where to file or can I just file that income in my AK/Federal return?

• You do owe tax on the money, both Federal and State.
• You will only file an AK tax return.
  • As a nonresident of Massachusetts, if your Massachusetts gross income (from sources within Massachusetts) is greater than either $8,000 or the prorated personal exemption you're entitled to, whichever is less, you do not have to file a Massachusetts Income Tax return.  Massachusetts gross income for nonresidents

[hayleehhx]

Thank you for your help! @JohnB5677 

My 1095 is form A, as I purchased my BCBS through the marketplace, so I know I will have to file this in my federal return, but as I understand from you, not state (since I made no money in NC) correct?

As for the MA nonresident I'm not quite sure I understand that part. I was living and making the items I sold via paypal in AK, but the address listed on the 1099 form that PayPal sent me has listed my parents address in MA. So I do, or no not need to file anything with MA this year? The sum is far less than 8k.

Thank you again.

[Vanessa A]

No, you do not need to file a MA return if you did not live or earn money in MA. 

If the only connection to MA is that you never updated an address with PayPal so the 1099 went to your parents house, that does not create a taxable event in the state of MA.  You will only need to file a state return for AK.