Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Returning Member
posted Mar 26, 2020 7:38:52 AM

Part-Time Resident State Taxes

I'm trying to file state tax returns and believe TurboTax isn't allowing me to answer what I think is the  crucial question for part-time residents: how much income did my spouse and I make while residents in each state? I've attached screenshots to show how TurboTax says it wants this information but provides no opportunity to give it. The first screenshot is where it says it'll ask for this information. The other screenshots are the only two questions it asks me before saying I've successfully completed the 'income' section.

This could be a big deal for me, as I had a lot of short-term capital gain income in one state and an equal amount of short-term capital loss in the second state. As such, my capital gain income on my federal tax return (~$0) does not represent how much money I made or lost while a resident of each state.

 

 

0 1 169
1 Replies
Employee Tax Expert
Mar 31, 2020 1:52:44 PM

You may need to review your input in the personal information section of the return.

 

The state returns will pull from the federal input as well and will generate the forms in the state section accordingly based upon your input.

 

In the My Info section of TurboTax, confirm that you have entered the correct state information: 

  1. Click "Edit" to the right of your name 
  2. Confirm your input under #2 "Tell us the state(s) you lived in" 
  3. Confirm the rest of the state-specific questions here as well including the "previous state of residence" and "date you became a resident" of the state noted 
  4. Do the same for your spouse if you are married filing jointly. 
  5. Go back to the personal information section, and verify the mailing address and "Other state income" section. 

Review your input on your W-2 Wages under the "Income & Expenses" section. 

Confirm that you have entered the correct state for each W-2 in Boxes 14-15. 

 

This will then allow you to enter your state returns for the part-year resident states. 

 

Prepare the part-year resident state tax return for the state you no longer reside in first.  Be sure to answer the questions carefully as you only want to report the income earned in while residing in that state.  You should now see screens allowing you to allocate your capital gains or losses as well.

 

Once you have entered all of the first part-year resident information, then start your part-year resident state tax return for the state you reside in as of December 31st, 2019.  This will ensure you receive any credits for taxes on income which may have been taxed in both states.