Filing state tax return on unemployment payed by one state while living in a different state.

[AmyB6]

NY as a nonresident. How do I provide the form then if I filed electronically?

Thank you!

[DianeW777]

Form IT-203-C is available for e-file with your New York State (NYS) nonresident return. There is an indicator that this form will be included with your return, when you select who has NYS income and only one of you has income from NYS.

Once your return is completed you can check your .pdf copy for confirmation.

See the image below and use the link above if you want to see the actual form. Keep in mind it is only required when only one spouse has NYS income.

[rlgy2000]

Also piggybacking off this because i am in a similar situation.

Moved to AZ mid 2020, and was collecting unemployment from WA state (WA = no state tax).

I did not work in AZ in 2020. I am attempting to fill out a part-time resident tax form for AZ and it is saying I'm getting a big refund!? That can't be right? It seems like I need to file something for AZ... do I just put zero for income? Thanks!

[MarilynG1]

@rlgy2000 If you received some unemployment while living in Washington and some while living in Arizona, you need to 'allocate' the amount you received while living in Arizona to your Arizona return.

Click this link for more info on How to Allocate Income for a Part Year Resident . 

[rlgy2000]

I did that but it caused me to get a large refund...

I'm pretty sure that's not right!

[MarilynG1]

@rlgy2000 Yes, if you had no Arizona tax withheld on your unemployment, it seems you would owe Arizona tax on that income (at least the amount you report as Arizona income on your Part-Year Resident return).  

Since we can't see your return in this forum, you could ask for an Offline Review to have someone look at your return. 

[rlgy2000]

Hi,

No, I'm not owing tax, I'm getting a refund - how can that be correct?

[rlgy2000]

Thanks, i guess i will try that.

[lajmrj2]

Hello! 

My girlfriend was living and working in Minnesota before COVID, but moved to NY just a little bit before and worked some before being furloughed. Because of the brevity of her work in NY, she was told to file unemployment with her previous employer in MN. 

While using Turbotax, she first did federal, then MN Non-Resident, followed by NY Resident. 

Her unemployment benefits were being taxed as they were delivered, but now Turbotax is asking her to pay taxes on them as well for New York. 

I read somewhere that a credit was to be issued. Was something done in the wrong order that's not causing that credit to auto-populate, or am I misunderstanding something?

[gloriah5200]

If her return showed the unemployment income earned in MN while she was a NY resident, then yes, it would be includible in income on both state returns.  Generally the resident state is able to get an "other state tax credit" on the resident state return for taxes paid on the nonresident state return as long as the income is being included on both states returns.as taxable.

Generally, you may have to enter some information on the other state tax credit form in order to  generate a credit.

If she lived in NY the entire year, then she would have to claim the other state tax credit on the NY return instead of the MN return.

[rlgy2000]

I think I see what is causing the refund - line 63/AZ income tax withheld on 140PY. TurboTax is putting an amount in that box. Do you know where that would pull from? As I said I have not worked in AZ so had to tax withheld that I know of.

[Critter-3]

@rlgy2000 

Are you using the ONLINE or Downloaded program ?   

[rlgy2000]

online program - i printed it out so i could see everything

[Tikhan5890]

I have a similar question. My wife and I moved from SC to NY. She was receiving unemployment while we lived in SC for half the year. She is still receiving unemployment from SC but we live in NY now. 

When filing state taxes I am shown the federal income and how much of it is received while a resident of New York. Let’s say for example she received $1000 federal income. Is half that listed as NY resident income and half as SC income since we lived in both states?

[MarilynG1]

Yes, split your Unearned Income (like unemployment) between the states you lived in while you were receiving it on your Part-Year Resident State Returns.

Click this link for more info on How to File a Part Year Resident Return.

This link has details on How to Allocate Income for a Part Year Resident .