__________________________
I used to do IA stuff, but haven't for some time (~2017?). IT looks like they still do it similarly for Part Year residents when I look at the IA forms.
IA does calculate a tax on your entire year's income, but then gives you a pseudo-tax credit on line 48 of the IA-1040 for the taxes assessed on the income you earned/received after moving to MO. That value comes from the form IA-126......where you supposedly indicated what parts of your total income was earned during the time you were a resident in IA. Whether that was done properly the first time is not something any of us can know.
_________________
MO is one of those states that does part-year resident tax returns somewhat differently....so a lot depends on how you chose to do the MO stuff when you went thru the MO interview.
MO has part-year residents choose whether to file as:
....a) A full-year MO resident, calculating a tax on all your yearly income from both states, but then taking a credit for taxes paid to IA on the IA part-year tax return. (IA would have to be filled out first)
...OR...
....b) File as a full-year MO Non-resident, and indicating all your income after you moved to MO "as-if" you were a non-resident of MO with some MO income for that part of the year (including dividends, interest, capital gains...etc received while in MO).
____________________
I suspect b) would be easier, but which way would give you lowest MO tax would depend on a lot of details which would be impossible for us to explain.....and I'm not sure how TTX software helps you navigate those two procedures.
___________________________
Nonresidents and Residents with Other State Income (mo.gov)
"Part-Year Resident- An individual domiciled elsewhere prior to moving to Missouri or establishes domicile elsewhere after moving from Missouri. A part-year resident is treated as a nonresident but may determine his tax as if a resident for the entire year.
As a part-year resident, you may take either the Missouri resident credit (MO-CR) or the Missouri income percentage (MO-NRI), whichever is to your benefit. On a joint return, one spouse may take the Missouri income percentage and the other the Missouri resident credit. However, one individual cannot claim both!"
____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
