I got a letter from ND saying my State tax return has been changed from $370 to $0. Apparently this occurred because MN is in box 15, not ND. How do I fix this??

[SteamTrain]

OF course, ND won't refund taxes you paid to MN.

...but ND and MN have a Reciprocal tax Agreement

So.....You are gong to have to explain
1)  Which state you lived in (or parents state of residence if you are in college and you are their dependent)
2)  Which state you worked in .
3) Which state tax returns did you file

[savanna-beck]

Thank you! Okay, I called the office of the ND tax commissioner (whom I was sent the letter from) and she told me to change the state that I filed. I am unsure of who to call or where to go on TurboTax to make this change... Am I supposed to file an amended tax return for this mistake? Or is there a simpler way to resolve this?
Or should I call them again and explain the reciprocal tax agreement that you mentioned? I apologize for all the questions but I was trying to get answers as to how to take care of this today from others and I came up with nothing and am getting really worried about it...So thank you in advance for answering me, again!

[SteamTrain]

I cannot suggest  a thing about your next steps until you answer questions 1,2,and 3 above.

[savanna-beck]

Oh shoot! I 'm sorry I thought I was supposed to bring that information to someone else but okay....

1) Parents live in MN, I am a dependent going to school/working in ND

2) Worked in ND

3) I filed two W-2 forms, one from Cass County Government and one from North Dakota State University

[SteamTrain]

Look at your tax file printouts...

Q3 again).....Which state tax forms did you actually "file".
.............i.e. Did you file a MN "resident" tax return.  and a ND non-Resident tax return?
...or MN Nonresident and ND resident
..OR ND only (resident?  Nonresident?)

4) were only MN taxes withheld on those W-2 forms, or were ND taxes withheld on either of them,

5) did you properly make the selection in the Federal that you were a dependent.
.....5a) on the 1040, under your name,  is the  box checked for "Someone can claim you as a dependent"
.....5b) or are all the boxes just under your First/Last name  empty?

[savanna-beck]

3) I believe I filed my returns as ND non-resident. I am not sure where to look to find that out for sure. But I think that's what I did considering my drivers license is MN.

4) And my federal tax return went through fine it is just box 17 on both W-2 forms that are MN tax returns. One has the amount $49.09 and the other $321.00. These amounts are what I am having issues with since box 15 says MN and I obviously messed something up along the way as I filed them.

5) Yes, I definitely claimed myself as a dependent and it says so on my 1040.

[SteamTrain]

3) You have to print out your tax forms and look at them to see what State forms you filed
..........go get them downloaded and look.

You may or may not have to Amend MN...depends on if it is there at all..and whether it shows as Resident or Non-resident.
MN-Resident is form M1.
 But if it is really Non-Resident, the M1 will have a Schedule M1NR attached on one of the pages that follows the M1.

4) good.  You should only have filed a MN..be you don't knwo if you even filed in MN yet
5) Great! you won't have to amend Federal.

[savanna-beck]

Okay, so I am looking at them right now and it is the ND-1 form.

[SteamTrain]

So far it is a resident form...if there is an ND-1NR after it then it is Nonresident.

[savanna-beck]

NR does not follow the ND-1, so I must have filed as an ND resident. What do I do now?

[SteamTrain]

OK....Far enough.you have to amend ND and add MN...and no Federal amendment.

1) you wait until 1 March.   Why..because all the Amended forms are not "up" yet. Probably up sooner, but there will be bugs, and you don't want to be the first guinea pig to test the toxic brew.

2) you will return to your tax account, and start and amended tax return, but need to select at that time that you only want to amend the ND state form.

3) once the ND state amendment is started, you will go to the My Info section and a) Change your resident sate to MN  (part of your name and SSN entry) and b), go to the bottom of the page and put ND in as an "Other state" you had income from.

4)  then go the the Federal Wages&Income section, and you need to edit those two W-2 forms to show the proper state for withholding in boxes 15-thru-17 ...Should be MN according to what you've told me...but those boxes must match what is on your W-2 forms.

5) then go the the sate section and run thru the ND questions..it should switch you to ND Nonresident, at that time, but if it doesn't you will have to make the selection there and make it non-resident.  Go thru it all again and thru the error check too. You might have some questions now about having ND nonresident income..you need to indicate a zero for everything..you had no type of ND income . The W-2 is not ND  income ..not interest, not dividends..nothing.

6) work you way out of ND and then add MN as another state tax return..and run thru all its'questions. (I hope it is not an amended MN at this point...if the software asks if you are amending MN...say NO.)  error check and move on.

Now, I don't know if it will let you e-file MN or not with this mess, you might have to print it out and mail it in with the state copies of your W-2 forms.  IF it lets you e-file MN..then go for it.

_____________________________________

BUT ND amended will have to be printed out. SAVE your letter from ND and read it. 

You should likely not have to send them the amended ND tax forms, because they have already correctly reached their decision...and your amended ND form may show you owe them the $370 refund back, but you never received it in the first place...but may not if the software actually asks you if you  received that ND refund, and you indicate you didn't...because you didn't

___

Good luck in March.