2250453
I worked in NYC for the first 3 months of 2020 then moved to Michigan. I did some work in Ohio which is a reciprocal state for Michigan.
When doing the state taxes, I started with Ohio by entering the compensation earned as a "non-resident" for a neighboring state. This provided a full refund of the taxes I paid to Ohio, which I think is correct.
I then attempted to enter the NY state information as a "part-time resident" and this is where it gets confusing. In the easy step process, it asks for the "portion taxed by Ohio", then the "portion taxed by Michigan" in order to get a credit for paying taxes to other states. I'm not sure how to proceed.
Do I enter the portion taxed for Ohio as "zero" then include the sum of the Michigan and Ohio income for the portion taxed in Michigan? Or leave them separate?
Also, since the Michigan forms will be completed after I finish the NY state forms, do I skip the question regarding how much tax I am paying to Michigan since I don't know that number yet, then come back to it after I finish Michigan's forms?
I have seen a lot of posts about how this is handled when doing one non-resident state and one resident state, but not much on two part-time states. Thanks in advance!
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@sgs112 said "When doing the state taxes, I started with Ohio by entering the compensation earned as a "non-resident" for a neighboring state. This provided a full refund of the taxes I paid to Ohio, which I think is correct."
No. The MI-OH reciprocal agreement only applies if you were a full year resident of MI.
So does this mean I should pay the Ohio tax even though I was living in Michigan at the time I did the work in Ohio, then take a credit for the amount paid to Ohio on the Michigan state form?
And when it asks for the amount that is being taxed by the other state, do I put in the full W2 amount since NY and Ohio both calculate taxes on the full wage earnings? Or do I put the amount that represents the percentage of time I spent in that state?
Q. So does this mean I should pay the Ohio tax even though I was living in Michigan at the time I did the work in Ohio, then take a credit for the amount paid to Ohio on the Michigan state form?
A. Yes.
Q. When it asks for the amount that is being taxed by the other state, do I put in the full W2?
A. Yes, you go by the amount earned; not by time.
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