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posted Feb 21, 2021 2:06:39 PM

I am entering the remote earnings and getting an error that the amount i entered is more than we earned in the state, but both numbers are correct?

My spouce worked remote in IL for a MO company. I figured out how much income was from MO and how much was IL and entered it getting message MONRI: SP Remote work income should not be greater than total Missouri wages entered on federal return.

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1 Replies
Expert Alumni
Feb 23, 2021 6:43:29 PM

On your spouse's W2, the state wages are MO and have MO tax withheld, I am guessing. Your resident state automatically taxes all income. I wonder if you entered the state information correctly. The federal should be right. First, make sure that states were done correctly. 

 

Your resident state taxes all income but gives a credit for income taxed by another state.  Please carefully follow these directions.

You will need to prepare the states in a special order. You may need to delete both states and begin again.

 

  1. First, prepare your non-resident MO return. This creates your tax liability for the non-resident state. How do I file a nonresident state return?
  2. THEN prepare your resident state IL return and it will generate a credit for your income already being taxed in the non-resident state.
  3. The credit will be the lower of the state tax liabilities on the same income. You may owe your resident state.

It isn't possible for the program to create a credit before it knows the liability. Your returns may be wrong if you do not prepare the states in this order.

 

 

Second, if you are still having issues: