My New York state return last year (2017) had a Resident Credit of $656. This year (2018) it is $0. What would cause the removal of that credit?

[Cindy0H]

This is a nonrefundable credit. Do you have NY tax liability this year..line 39 of the IT-201?

[rcomfort1]

Thank you for your response. Yes I have tax liability in line 39 on the IT-201. Could last year have had a credit because it was my first year filing in NY? We moved from Michigan in 2017.

[ChristieB]

Did you have any out of state income in 2018?

[rcomfort1]

My wife had out of state income in 2017, but not in 2018.

[rcomfort1]

Thank you!  I appreciate your help with my question!

[ChristieB]

You are very welcome!

[ChristieB]

Unfortunately, one of the requirements of the Resident Credit is out of state income: 

• you had income sourced to and taxed by another state, a local government within another state, the District of Columbia, or a Canadian province. (This income generally includes wages, business income, etc. It typically excludes interest, dividends, gambling winnings, lottery winnings, etc.)

https://www.tax.ny.gov/pit/credits/resident_credit.htm