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Missouri Taxing Entire Year Income

I moved to Missouri in September 2019. Missouri is taxing me on my entire year’s income, even though most of it was earned in a different state. Of course, they are saying I owe them money now but my taxable income for MO should have been significantly less, and by my calculations, I should be pretty close to breaking even. Not paying in $1000. 

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3 Replies
DavidD66
Expert Alumni

Missouri Taxing Entire Year Income

You have to allocate your income in the state return sections of the program.  There will be a screen that shows your income, and you enter the portion of it that you earned in Missouri. That's the amount that will be taxed by Missouri.  See the screen shot below.

 

Missouri Income Allocation

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Missouri Taxing Entire Year Income

@DavidD66 - See below. I don't show the same options as you. But I did find this. (see screen shot below) Looks like if you move to MO part of the way through a year, you get stuck paying taxes on your entire year's income. I did insert the "credit" but AZ taxes at a rate much lower than MO so now I get to pay in. Unless I file as non-resident, even though this is now my home state. 

 

Screen Shot 2020-02-23 at 8.16.55 PM.png

DavidD66
Expert Alumni

Missouri Taxing Entire Year Income

You need to check the other box "Part-Year Resident Filing as a Nonresident".  According to the Missouri Department of Revenue:  "Part-Year Resident - An individual domiciled elsewhere prior to moving to Missouri or establishes domicile elsewhere after moving from Missouri. A part-year resident is treated as a nonresident but may determine his tax as if a resident for the entire year."

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