States taxes

nebaer · ‎January 25, 2022

I work in Ohio but live in Indiana. I was just doing my taxes on my computer and I am trying to figure out on my indiana taxes where I put the information in saying I paid ohio state taxes and am getting that refund so I can then pay indiana state taxes.

AnnetteB6 · ‎January 25, 2022

Be sure to complete your non-resident (Ohio) state return first, then your resident state (Indiana). As you go through your Indiana state return you should see an option for 'Other state tax credit'. You will most likely find this on a Credits and Taxes input screen on the resident state return.

With your non-resident state return completed first, the data needed to calculate your credit may be automatically entered for you on your resident return.

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nebaer · ‎January 25, 2022

Thank you for getting back to me. I have already done that. I did finally find that and it is saying I do not qualify for that. But if I try to do my taxes online at turbo tax it does it automatically like you said. Just not on the software I already bought.

SteamTrain · ‎January 25, 2022

.....Ohio and Indiana are reciprocal tax states. As such, if you accidentally had OH taxes withheld from your job there, then IN does not let you take a credit for taxes paid/withheld in Ohio.

Thus, in the Other State tax credit section, in the IN tax return, you will not put any $$ in for a credit. I'm not sure you have to tell Indiana tax forms anywhere at all that you will get a refund form OH....they expect you to do that in some means or another.

IF you would file a form IT4NR (actually just a new combined IT4) with taht Ohio employer...they will stop OH withholding and you won't have to get a refund from OH for the first full year you don't have any OH taxes withheld. Some OH employers can even set up IN withholding for you, but you'd have to check with them since not all employers are set up to do so>

Get the new OH form IT4 here, indicate you are a resident of Indiana, and give to your OH employer to become exempt from OH withholding.

Tax Forms | Department of Taxation (ohio.gov)

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*