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Two errors when checking over Indiana Taxes regarding residency.

I am a full year resident of Indiana, but my non resident alien spouse lived in Indiana for a few months in 2019. We are electing to treat my nonresident spouse as a resident for tax purposes. I was advised by Turbotax in the forum that I can treat my spouse as an Indiana resident. I understood that answer to my question to mean I could treat as a full year resident. I was also advised to select out-of-state - other states for the county of residence and county of employment since my spouse was abroad on January 1st.

 

After I click "Let's check it over" for Indiana taxes, it says "Check this entry form. Information worksheet: Spouse county of residence is not a valid selection based on your full-year resident status. Please select the Indiana county where the spouse lived on January 2019."

 

However, my spouse lived in South America on January 1st, but it wants an Indiana county since I clicked full year resident. So my understanding is that my spouse would be a part year resident perhaps.

 

On the next screen it says check this entry. Information worksheet: Full Year Resident should not be checked. Form IT-40 may be selected if taxpayer and spouse are both full-year Indiana residents."

 

I was advised to treat as a resident. Now there are options to change full year resident IT40 to IT-40PNR part year resident and IT-40PNR nonresident. My spouse lived in Indiana for some months during the middle of the year. So if I had to switch to part year resident, then it has you select the dates for residency. It would be possible to enter the IN residency dates, but for the other state residency dates is seems only possible to put first months of the year or the last months because you can't put two separate ranges.

 

So my question is that I believe I need to switch from full year to part year residents, but then will have an issue with inputting the dates for Indiana residency and out of state residency since I cannot put two date ranges for out of state residency.

 

Thanks.

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1 Reply
KarenJ2
Expert Alumni

Two errors when checking over Indiana Taxes regarding residency.

Yes, you should file IT-40PNR.  See below taken from Indiana IT-40PNR tax booklet.

 

Form IT-40PNR for Part-Year and Full-Year Nonresidents

 

Use Form IT-40PNR if you (and/or your spouse, if married filing jointly): • Were Indiana residents for less than a full-year or not at all, or • Are filing jointly and one was a full-year Indiana resident and the other was not a full-year Indiana resident, and • Do not qualify to file Form IT-40RNR.

 

If you need to input additional information on the tax form regarding her residency period, I would print out the return and manually write in the correct dates and mail the return.

 

 

Does your nonresident spouse have a SSN or ITIN?  If not you will need to apply for a SSN before filing or attach a Form W-7 for applying for an ITIN.

How do I print and mail my return in TurboTax Online?

 

 

 

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