Working in a different state

Forum|Forum|4 years ago
January 26, 2022
1 reply
0 views

I lived in a different state temporarily to work a job. My home address is in California, but I worked and lived in Ohio in Ohio for my 2021 summer (3 months). On my initial paycheck (W2), I have my old California address as my home address.I was charged both California and Ohio taxes. After that initial one, I was told by my employer to put my Ohio address as my home address. I was then only charged Ohio taxes. I am wondering what state I should file in. Do I have to file for one or both states? Also, which location should be my home address and what state will I be taxed from? Thank you!

AmyC

Level 15

You are a CA resident so you must file a CA resident return. You earned income as a non-resident of Ohio.

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.

First, prepare your non-resident OH return. This creates your tax liability for the non-resident state. How do I file a nonresident state return?
Then prepare your resident state CA return and it will generate a credit for your income already being taxed in the non-resident state.
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.

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"