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ljlord1
New Member

i live in montana, but my income is pension from florida which doesnt have income tax. do i need to claim this income and pay montana income tax on it?

 
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2 Replies
CesarJ
Employee Tax Expert

i live in montana, but my income is pension from florida which doesnt have income tax. do i need to claim this income and pay montana income tax on it?

Yes. If you are a Montana resident, Montana will tax all of your income regardless of where you earned it.  However, Montana will give you a credit for the amount of tax you must pay to the other state for income earned there.  (If the other state is ND, there is a reciprocal agreement between MT and ND, and you are only taxed in the state where you live.  You wouldn't have to file a ND return unless ND tax is mistakenly withheld).

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i live in montana, but my income is pension from florida which doesnt have income tax. do i need to claim this income and pay montana income tax on it?

Yes, you do.   If you live in MT you are subject to state income tax in MT, no matter where the pension check is coming from.

 

Information flows from your federal return to the state return.  Enter your 1099R in the federal software.

 

To enter your retirement income, Go to  Federal> Wages and Income>Retirement Plans and Social Security>IRA  401 k) Pension Plan Withdrawals to enter your 1099R.

 

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

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