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TPO
Level 2

Can I report lawsuit settlement wages from out of state in TurboTax?

I see where to report this Miscellaneous Income but I can't figure out how to clarify that it came from another state where I believe taxes are expected.
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1 Reply
KrisD15
Expert Alumni

Can I report lawsuit settlement wages from out of state in TurboTax?

Enter the income on the Federal return, when you finish the Federal and start your state tax return, you'll need to generate a return for the state in question and then allocate that amount to that state. In almost all situations, income earned in a state is taxable income for that state. 

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