I didn't collect MA unemployment UNTIL I moved to VT. How to ans on VT form: "Did you pay tax to another state ...on income also taxed by Vermont?" Do both states tax me?

Meaning do BOTH states tax my MA unemployment compensation paid while I lived in VT? Thank you! I had 5% state (the max) taken out and paid to MA weekly.

154

Expert Alumni

Apr 2, 2022 11:52:32 AM

Yes, you will have to report the Massachusetts unemployment income on a Massachusetts tax return and pay MA taxes. You will also have to report to Vermont, but you will get a credit for taxes paid to another state so you will not be double taxed. (Prepare your Massachusetts return first so that you will know the amount.)

Why sign in to the Community?

I didn't collect MA unemployment UNTIL I moved to VT. How to ans on VT form: "Did you pay tax to another state ...on income also taxed by Vermont?" Do both states tax me?