Moved to NM in 2018. Paid NM tax for 2018. Will move to TN soon. Do we pay NM tax if move is before Julian date 185?

[Critter]

If you lived and worked in NM then you will file a part year resident return for NM to pay taxes on the income earned there. 

[turriciano]

Thanks for the info. Our only income is from pensions, social security and savings interest. Will we still pay NM as part year resident (leaving state before July 4)? If so, will NM pro-rate it or require that we pay them for total 2019 income (pensions, social security, savings interest)? Thanks again for your help.

[Critter]

YOU will do the prorations in the TT state interview ... you will allocate how much belonged to NM.

[turriciano]

Thanks.

[biggap]

Funny, we also moved from NM to TN, right on the cusp of the full-year/part-year residency date  🙂  Our situation was complicated by the fact that one of us went back to the state a couple weeks for consulting. So we had to file as one part-year resident, and one full-year resident. If you leave (left!) before July 4, then you are both part-years. 

Yes, you have to figure out how to apportion everything. The good news is that once you are out of state, only the income you received while NM residents is taxed. Especially, pensions received after you move are only taxable in your new state, by federal law. The possibly-bad news is that during that first year, as partial-year residents, you only get "credit" in NM for income that is taxed the same way in both states. Since TN hardly taxes anything, we ended up paying extra taxes to NM - but that may have been because of our split situation. 

Oh, and my experience is that TurboTax can't handle NM correctly even when it's easy. Hope things worked out better for you.