Step-by-step does not lead to the correct selection of residency status when one spouse is full-year resident and the other is part-year (MFJ). The Georgia instructions are to choose "nonresident" status in this case. Apparently this is rare enough that I cannot find other posts about it, but I must not be the only one as it is clearly addressed in Georgia's filing instructions. I can edit the form manually and complete Schedule 3, but there are unfixable downstream effects - in my case I cannot claim credit for tax paid to another state because that worksheet is disallowed for nonresident status. I could calculate the worksheet on paper and fill in the final value, but I still need to attach a copy of the other state return, and while TT has a section for attaching PDFs, it is disallowed because TT perceives no need to attach any.
Would appreciate an employee to run this scenario and confirm that I am correct.
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Georgia does say to file a non-resident return if one person is a full-year resident and the other is a part-year return. GA says, “If one spouse is a resident and one is a part-year resident or nonresident, enter 3 [nonresident] in the residency status box and complete Form 500, Schedule 3 to calculate Georgia taxable income.”
A non-resident return will allow you to exclude non-Georgia income so you will not need to claim a credit for tax paid to another state. There should not be any double-taxed income. You will only pay GA tax on income earned while a resident of GA. The other state income will not be reported on the GA Form-500.
Thanks, I know that I should not be double-taxed, but I cannot fail to report the income. I must use the Other State Tax Credit Worksheet, which Turbotax will not permit me to add to my return because of the bug we are discussing. As I said, even if I do the worksheet on paper, I still need to attach a copy of my other state return, which it will not allow me to do. Therefore, I cannot efile. Please make sure this bug is reported.
I was filing my Georgia state taxes. I was also doing my Sister n law taxes who is from Michigan. How do I take off Michigan from my Georgia taxes
Are you using TurboTax for Desktop? If so, please see How do I clear my state return in the TurboTax for Windows software? for assistance with removing Michigan from your tax return.
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