moved from GA to NC but taxes were taken out only for GA for all of 2022

[dallasjh89]

I moved from GA to NC last year but my w-4 was not updated. My W-2 shows only GA taxes taken out for the whole year. I'm sure NC will want there money. What is my best option?

Thanks

[KrisD15]

File the Part-Year Resident state return for GA first. 

Since you worked in Georgia, all the wages earned in Georgia will be taxed on your GA return. 

Next file your Part-Year Resident return for North Carolina. 

North Carolina will want to tax the income you earned while you were a resident (so allocate the income you earned from the date you moved to NC)

You don't get "double Taxed" on that income because uou will get a credit on your NC tax return for the GA tax you paid on the "shared income"  (the income earned in GA while living in NC. 

Going forward, if you continue to work in GA and live in NC, always do the GA return first, then NC so the program can calculate the tax credit for the resident state return. If you work in GA, but don't live in GA for any of the Tax Year, you will file a Non-Resident return for GA. 

[dallasjh89]

Thank you so much! 

Just a follow up question. It asks me to choose time ration or income ration. Does it matter which i use? My refund is larger with the time ratio. I technically moved to NC on July 11 but in turbo tax i put July 17 because that was my effective date from work and it follows our pay periods. So do i go back and put the 11th in and use the time ratio? Not sure what to do with this section.

Thanks,

[TomK2023]

Use the ratio that is most tax advantageous to your situation.  Also, you did move to NC on 7/11.