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In TurboTax, you must complete your non-resident tax return first, before you do your home state return, in order for the out-of-state credit to flow properly.
What if I did not do it like that can I go back and redo it? I did SC first then NC.
Sure....it's just best if you do the NC Non-resident tax forms first...because the SC tax form...Credit for taxes paid to NC...that can't be determined accurately until you actually finish preparing the NC non-resident tax return. The SC credit isn't for what was withheld from her NC pay for NC...it's just what NC levies on her income there.
So, in the NC non-resident interview, only her NC W-2 should be tagged as NC Non-resident income (or her self-employment gain there if she was self-employed). Most all other fields should have zeros in them...things like 1099-INT and 1099-DIV $$ are not considered NC income. (of course, if you own a rental property in NC, that would be NC non-resident income too) .
After finishing the NC non-resident return.....filled out and error checked, you'll have to revisit the SC credit for taxes paid to another state in the SC interview..to make sur that is being handled OK....there may be some slight differences, since SC and NC have different tax rates...and the is some software-calculated handwaving math involved with that.
thanks
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