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I live in Indiana but won a jackpot in Michigan. am I supposed to pay for an Indiana and Michigan tax return like its showing Me?

I did not pay taxes on either jackpot. when I add  one in income for Michigan since I won there, I am being charged for a Michigan and an Indiana return. Is this correct or did I do the income wrong?

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1 Reply
DanielV01
Expert Alumni

I live in Indiana but won a jackpot in Michigan. am I supposed to pay for an Indiana and Michigan tax return like its showing Me?

No, you did it correctly.  You must do two returns because this income is taxed in both states.  Indiana and Michigan have a reciprocal agreement on wages, but not gambling income.  Therefore, Michigan will tax you on this income, and then you can claim a credit on your Indiana return for the taxes you are paying in Michigan.

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