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roxysma1
New Member

I get my pension from Vermont, have moved to North Carolina. Do I need to file a nonresident Vermont return?

I do not understand when to file a nonresident Vermont return. I retired from the Vermont state system, now live in North Carolina. Should I file a nonresident Vermont Return?
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I get my pension from Vermont, have moved to North Carolina. Do I need to file a nonresident Vermont return?

1)  You only file a part-Year tax return for VT in the year you moved to NC.

 

2)  You only file a non-resident tx return for VT if you maintain a rental property in VT that your receive income from, or have a business operation in VT in the years after your move.....or go back there "temporarily" to work a temp job.

 

3) Pension income, no matter where it started out, is only taxable in the state you live in at the time the pension $$ are distributed.  Thus, only NC can tax that income once you moved to NC.    You do have to make sure that the pension provider does know you live in NC now, and that only NC taxes are to be withheld (if they can withhold NC taxes...sometimes they can't)

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*

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