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Level 1
posted Mar 22, 2020 3:50:09 PM

Maryland Part-year resident filing - Income received during period of nonresidence not deducted

I was working and living in Maryland from the beginning of 2019 until the first week of July.  Then I moved to Texas and I was living in Texas for the rest of 2019.  I entered this information when questions were asked in Turbo Tax for Federal, but when I filed for Maryland state no questions where asked regarding "Income received during the period of nonresidence". I did the e-file on March 7th and tax return was accepted.

 

While reviewing the Maryland FORM 502 today, I see that the section with "PART-YEAR RESIDENT" was filled correctly, but answer the question "12. Income received during the period of nonresidence (See Instruction 26.)" was empty. I believe the income from August to December 2019 needs to be entered in that field.   When I called support, they mentioned that I need to wait for the IRS to close the file and I can amend from turbo tax online. 

 

The support team member mentioned that it was a mistake from my side where I missed to enter part-year resident information while answering questions for state filing. I couldn't remember any place where this question was asked.

 

So I thought of checking with the community. Please let me know which question I missed or answered wrong so that the nonresidence income was not deducted.  Also, the answer may help someone in the same situation in the future. 

 

I appreciate your help.

 

Thanks

Vishnu

 

 

 

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1 Best answer
Employee Tax Expert
Mar 22, 2020 4:20:22 PM

It depends.

 

There are several areas where information needs to be entered to ensure your income is allocated correctly.

 

First, in the My Info section of the return, you would need to make sure you entered your residence as of December 31, 2019.  There is also a question asking if you lived in another state during the year.  You would have needed to complete the answers to both of these questions.

 

In the wages section, you should have broken out the state wages in Boxes 15-17 of the input section to reflect the wages sourced to TX and MD respectively.

 

Finally, since Texas does not have a state income tax reporting requirement, you would have needed to review your answers to your questions carefully in MD to ensure you were only reporting the income sourced to MD as opposed to everywhere.  

 

 

1 Replies
Employee Tax Expert
Mar 22, 2020 4:20:22 PM

It depends.

 

There are several areas where information needs to be entered to ensure your income is allocated correctly.

 

First, in the My Info section of the return, you would need to make sure you entered your residence as of December 31, 2019.  There is also a question asking if you lived in another state during the year.  You would have needed to complete the answers to both of these questions.

 

In the wages section, you should have broken out the state wages in Boxes 15-17 of the input section to reflect the wages sourced to TX and MD respectively.

 

Finally, since Texas does not have a state income tax reporting requirement, you would have needed to review your answers to your questions carefully in MD to ensure you were only reporting the income sourced to MD as opposed to everywhere.