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Moving

We are a married couple that files jointly.  We’ve moved from MN to AZ.  We worked in MN from May through October.  Should we file state taxes for MN or for AZ?

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1 Reply

Moving

Hello, wonderful question!!

I am assuming that you both did not work prior to May 2023.  And that you worked in AZ from November thru the end of the year.

In the Personal Info section of your Turbotax software, you will indicate that you live in AZ and that you lived in another state during 2023, stating that the other state was Minnesota.  

Enter all documents in the Federal section and then move to the state section.  You will do the MN return first and only claim income you earned in MN.  Then you will move to the AZ return and only claim income you earned in AZ.

You will have the opportunity to look at all your returns right before you efile your return.  Click on View Return and go to each state return to make sure that you are only being taxed on income earned in that state.  

Some states tax income from other states and then allow a credit for taxes paid to another state.  This does not appear to be the case for MN or AZ.

 

Here are the AZ rules:   Part-year residents are also subject to Arizona tax on any income earned while an Arizona resident, including retirement from another state, and any income earned from an Arizona source before moving to (or after leaving) the state. Part-year residents should exclude income Arizona law does not tax.

Here are the MN rules: Part-year residents. Part-year residents are taxpayers who either moved into or out of Minnesota during the tax year or met the criteria under Residents, above. Part-year residents are taxed
on all income received while a resident of Minnesota and on Minnesota-source income received while a nonresident.

Please give me a thumbs up if this was helpful.

Katie S.

 

Katherine S 63

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