Massachusetts Non Resident when filing jointly

[Chris P]

My wife and I live in NH. She works in NH and has no state taxes. I work in Boston and am required to pay Non Resident taxes to MA. We file MFJ for federal taxes and Turbotax automatically does the same in MA. It is very confusing to try to remove her wages from the calculations. Should I be filing separately for my taxes in MA as in MFS as opposed to jointly? And how can I do that on turbotax when I get the one free state download?

[ErnieS0]

Massachusetts gives you the option to file a joint or separate state return.

If you are legally married, you have the option of filing either a joint return or a married filing separate return. 

You can use your one free download for Massachusetts if you do not need to file a New Hampshire interest and dividends return.

How do I prepare a joint federal return and separate state returns?

Massachusetts taxes wages at a flat 5% so filing together or separate will probably not impact the amount of tax you owe either way.

Filing a joint return allows for some tax breaks including:

• A credit of $180 ($360 for two or more dependents) for a dependent member of household under age 12, or dependent age 65 or over as of December 31, 2022 (not you or your spouse) or a disabled dependent and 
   
• Excess unused exemptions against interest income (other than interest from Massachusetts banks), dividends or capital gain income.

[Chris P]

Ok thank you but where does Turbotax software give me the option to change the MA state one to Married filing separately? I can't find that option, it automatically incorporates the spouse into the state refund once you are done with the federal.

It talks about downloading on a CD/Download but my deluxe software was downloaded from Amazon purchase.

[ErnieS0]

There is no option to change to married filing separately for Massachusetts in a tax file with a joint federal return.

Create a duplicate file (File > Save As) and give it a new name. Change your filing status in this file to Married Filing Separate and delete all your wife’s info. If she is listed first on the return, you’ll have to switch the names and make yourself the primary taxpayer.

Or you can start a new married filing separate file for yourself. Unless you have other MA income, you'll just have to enter your W-2 so this may be the easier way to go.

Once all your info is in, you can complete Massachusetts. You will not be able to e-file the state return because you e-filed a joint federal return. Send your MA return by certified mail with proof of delivery.

For more info see How do I prepare a joint federal return and separate state returns?