TurboTax

File with experts
File your taxes
Experts at your fingertips

An expert helps with your taxes, or does them for you
TurboTax Expert Full Service

TurboTax Expert Assist

TurboTax Self-Employed
Prior year taxes
File myself
File myself
Do it yourself

We'll guide you step-by-step
TurboTax Do It Yourself

TurboTax Self-Employed

TurboTax Desktop
TurboTax Free

Activate your product

Prior year taxes
Business
Business
Business taxes

Get your T2 corporate return done right, your way
TurboTax Business

TurboTax Business Desktop
Tax situations
Tax situations
Tax situations

Find extra guidance for your big life moves
For investors

For 25 and younger

For self-employed

For new to Canada

For life changes
Resources
Resources
Resources

Explore tax tools, get tips, and read reviews
Personal income tax calculator

RRSP savings calculator

Learning hub

TurboTax support (FAQ)

TurboTax community
Pricing

Level 4

Question

Reciprocal State Agreements Illinois & Iowa

Forum|Forum|3 years ago
February 20, 2023
1 reply
0 views

I received form 1099-NEC instead of a W-2 for a part-time job in Iowa but live in Illinois.

Do I need to file Iowa state income tax even though Illinois and Iowa have a reciprocal agreement?

TT says no if receiving a W-2 but since a 1099-NEC was issued, it was not clear to me if I would check Iowa as a state for receiving compensation.

Level 15

The reciprocal agreement applies only to wages reported on a W-2. Since you were treated as a contractor, not an employee, and the payment you received was reported on a 1099-NEC, the reciprocal agreement does not apply to that income and you have to file an Iowa nonresident tax return.

carriskoulAuthor

Level 4

Thank you for the prompt response and confirmation.

Kind Regards.