Jordan teaches in WI and Lives in MN. Would she need to fill out a state return for both states? It does not show that taxes were withheld for both states?

[cpuegner]

Money was made in WI but does not show state tax as Wisconsin. Do I need to do two returns?

[DoninGA]

Yes, she will have to file in a tax return for both states.  

She will have to file a nonresident Wisconsin tax return and a resident Minnesota tax return.  The nonresident tax return needs to be completed before the resident tax return.  This is required so that the Wisconsin state taxes paid will be entered on the Minnesota tax return as an Other State tax credit.

Using the TurboTax online editions when entering the personal information she needs to indicate that her resident state is Minnesota.  The question will be asked if she made money in another state so answer YES and then select Wisconsin as the other state.

[JamesG1]

Yes.  You are a resident of Minnesota but work in Wisconsin.  You will file a Minnesota resident state income tax return and a Wisconsin nonresident state income tax return. See this TurboTax Help.

Prepare the Wisconsin nonresident state income tax return first, then the Minnesota resident state income tax return.  This method will generate a credit for taxes paid to another state on the Minnesota state income tax return.  Follow these steps:

• Down the left side of the screen, select State Taxes.
• Down the left side of the screen, select Your State Returns.
• Select Add another state.

Minnesota and Wisconsin are not reciprocal states.

If state income tax from only one state was deducted on your W-2, you may end up owing taxes to the state that did not have state income taxes withheld.  Consider asking your employer to withhold states for both states.

@cpuegner