Turbotax return generation for NJ/PA reciprocity

[taxquestion14]

Hello.  I am a bit confused as to why Turbotax is generating a NJ nonresident return claiming we owe taxes, and I am hoping someone can help.  This return conflicts with the "NJ taxes due" number at the top of the screen which says "0".

Situation: My fiance lived in NJ for a few days in January 2021 before we were married and she moved to PA with me.  While living in PA with me, she got a job in NJ.  Her employer has only withheld PA taxes per the reciprocal agreement.  When I go through Turbotax, it is correctly generating a NJ resident return for the days she was a NJ resident.  However, it is also generating a NJ nonresident return and claiming we owe NJ income tax.  We should only have to submit the NJ resident return correct?  Not a nonresident return too right?

Additional detail: We sold no property from NJ sources nor obtained any other NJ non-wage income while living in PA.  Also, we are filing everything jointly.

The only thing I can think of that is triggering this is that I answered the question, "Did you earn any income from NJ sources while living in another state?" as "Yes" because she did earn wages from NJ while living in PA.  This seems to be the only values that the nonresident return is using to calculate the taxes due.

[LenaH · Accepted solution]

You will need to file a part-year return for New Jersey for the few days your fiance lived in New Jersey and a resident return for Pennsylvania. You do not need a nonresident New Jersey return due to the reciprocal agreement between Pennsylvania and New Jersey and the fact that no New Jersey tax was withheld in error. There will be no tax owed to New Jersey if your fiance did not earn money in New Jersey or have any unearned income during the few days she was a resident. 

For the question, Yes we made money in another state? please answer no. You would only answer yes to this question if you earned money outside of Pennsylvania or New Jersey. Please see the screenshot below for additional guidance.

Lastly, for the screen in the New Jersey return that asks, Did you earn income in New Jersey while living in a different state?, answer no. Answering yes will populate the nonresident return which is not needed in your situation.