My employer mistakenly took out Maryland taxes in addition to New Jersey taxes even though I never lived or worked in Maryland. Do I answer YES to "Other State Income"?

[AmandaR1]

I would recommend answering that question 'No' because you didn't have other state income. You're correct that you'll need to file in Maryland because of the state taxes withheld, but you won't need to report wages in Maryland since you didn't actually work in the state.

The software may automatically pick up the taxes from your W-2 and recommend filing in Maryland. Then, within the state software questions, you'll be asked about wages related to Maryland and you can tell them $0 if you didn't live or work in the state. Be sure to update Maryland first, before your home state if you have one to file. If Maryland doesn't populate automatically, you can add it following the steps below.

1. When you login click 'Take me to my return'
2. Next, select the 'State Taxes' tab and then 'Continue'.
3. Now you'll be on the state tax summary page and you can click the 'Add a/another State' button.