My spouse and I moved to MD in 2017 but I still teach an online class for a California college. Or should I report $0 or $10k as CA income?

[deblevca]

My spouse and I moved to MD in 2017, but I still teach an online class for a California college. I also had a retroactive income credit from another CA college.  I did no work when physically located in CA in 2018. I had a 1099G from 2017 in CA & two (of 5) W-2s reported CA state income.  The remaining W-2s are for Maryland.  The CA income is~ $10k, a very small fraction of our combined income.  Turbotax wanted me to download both states, so I did. When I filled out the CA nonresident form, reporting the $10k as the California portion of our total income, Turbotax reduced our MD tax liability by almost half  and increased our CA tax liability to a few hundred dollars.  Did I do this correctly by counting the $10k as CA income or should I report $0 as CA income?  Or do I need to double-report the $10k?

[Zbucklyo · Accepted solution]

You should not report any income for California if you were not physically present when you performed the work.  If you had CA taxes withheld on your W-2s, you will have to file a CA non-resident tax return to get the withholding back. Otherwise, just file a MD tax return.

[MarilynG]

If your California income was earned while you were a resident of Maryland, then file a Non-Resident CA State return to get a refund of taxes paid to California.

Click this link for info on How to File a Non-Resident Return. 

[Edited 03/23/2020 | 4:49 PM]

[deblevca]

This is not correct, I was never in CA this year.

[deblevca]

That was the situation for 2017, not 2018.  2018 was purely remote work.