Hi,
The rules can vary by state, and your message does not specify the states involved. The final answer involves whether or not the states have reciprocal agreements , among other things. Lacking a reciprocal agreement, you will often have to file returns in both states, and, frequently, the amount of tax you pay to one state fill figure into the amount of tax you owe to the other. To get a complete answer, please post a new question with the states involved included.
Thanks,
Karen
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