How do i file if i work in Illinois and live in Indiana. Filing married jointly

[bmich20]

I work 100% time in Illinois but live in Indiana. I am filing married filing jointly, and my husband works 100% time in Indiana. How do I file where I don't owe taxes for both IL and IN?

[KeshaH]

Since Illinois and Indiana don't have a reciprocal tax agreement, you will have to file a return in both Illinois and Indiana. Your Illinois return will be a nonresident return, and your Indiana return will be a resident return. You'll get a credit in Indiana for part or all of the tax that you pay in Illinois, that way you aren't paying tax on the same income twice.