MA Schedule INC only showing MA PY resident income (should also show NR portion too)

[grendoly]

Hi,

I followed the advice in this thread for editing/splitting my federal W2 with MA source income into the relative portions earned when I was a part year resident in MA and a part year resident in NC. I had to do this so that TT's NC return would keep the right values for income on the part year calculation and let me specify which income on this W-2 should be taxed by NC and which shouldn't.

On the MA Schedule INC, it is now only displaying the portion of the W2 earned as a MA resident (along with the full year of withholding and the equivalent portion of SS tax). This is because that is the only portion of the W-2 with the MA flag, the rest being flagged as NC income. The entire thing is MA-source income and was withheld for MA, but part of it was earned as a part year resident and part of it as a nonresident while living in NC.

How do I make TT display the full amount of the W2 on the MA Schedule INC? The other fields in the MA return seem to be handling the income appropriately - it's just the Schedule INC that is wrong now. Does it even matter if the Schedule INC doesn't show the full amount if the rest of the return is displaying the right values (on the NR/PY and R/NR worksheets)?

Thanks!

[DanielV01]

That thread you reference does not work for Massachusetts.  If you alter what is on the W2 you will create a reject.  Instead, report what is on the W2 as written.  If there is nothing reported to NC, then it will be necessary to adjust this on the North Carolina return.

There may be a location in the North Carolina return that allows you to override what imports from the Federal return.  If that's the case, you will allocate or designate in that area how much income is North Carolina resident income, and that way claim a credit for taxes you pay to Massachusetts on the income common to and taxed by both.