Assuming you're an MA resident, the answer to your question is YES.  Your resident state of MA can tax ALL your income, including your rental income from Hawaii, so you must include that income on your MA return. That rental income is also taxable by the state of Hawaii.  So you must file a non-resident HI return, in addition to your MA return. You'll be able to take a credit on your MA return for the tax paid to HI (but not vice versa), so you won't be double-taxed. In TurboTax, be sure to complete the non-resident return before you do your home state return, so that the tax credit flows properly. ... View more

@gomazcat1234- You seem confused.  You can only use the current online software for a 2018 return.  If you need to prepare a return for any prior year from 2015 to 2017, you must pay for the downloaded software to prepare the past year return.   To file a return for a prior tax year If you need to prepare a return for 2015, 2016, or 2017 you can purchase and download desktop software to do it, then print, sign,   and mail the return(s) https://turbotax.intuit.com/personal-taxes/past-years-products/ Remember to prepare your state return as well—if you live in a state that has a state income tax. When you mail a tax return, you need to attach any documents showing tax withheld, such as your W-2’s or any 1099’s.   Use a mailing service that will track it, such as UPS or certified mail so you will know the IRS/state received the return. Note:   The desktop software you need to prepare the prior year return must be installed/downloaded to a full PC or Mac.   It cannot be used on a mobile device. ... View more

@Dabulhawa wrote: Hi what if you are making over 123k combined with you husband . My banker said i cant get a deduction what does that mean?? Does that mean i will be taxed on the 123k Or I will be taxed on the 123k- 19000 max contirnution a year ? _________________________ Your banker was referring to income limits for making a contribution to an "IRA" and getting a deduction for that too..     An IRA contribution and a 401k contribution are not the same thing.  Both are contributions to personal retirement accounts of different types    ......but An IRA contribution is done outside of your workplace and has income limits before it is allowed to be used as a deduction if you also have a 401k contribution or pension plan at work.   .....A 401k contribution is usually done thru your workplace employer...usually no income limits [[except for those designated as Highly Compensated Employees  ((see exceptions below))...check with the 401k administrator if that might be the case for either of you]].    (If under age 50)....So there is a $19,000 limit  for one person making deductible contributions to a traditional 401k plan for 2019 .  Your combined MFJ W-2 income above 123k has little or no effect on that  .  And, for a W-2 employee making the full 19,000 401k contribution, box 1 of the W-2 will be 19,000 lower than boxes 3, and 5 .  (can be more than 19,000 lower if you have other pre-tax deductions)   It's just that you will not be allowed to make deductible contributions to a separate IRA outside of work.    Annnd...IF both spouses are working at W-2 jobs, they can both make 401k contributions up-to $19,000 in each of their own plans as long as their income at that employer is high enough, and the plan allows it..   If the W-2 individual is age 50 or older, an additional $6000 of 401k catch-up contributions at work is also allowed. ____________ Exceptions:  For 2019, there can be 401k contribution limit applied to an individual if they are designated as a Highly Compensated Employee (HCE).  As an individual (not jointly), you earn more than 125,000 wages, or own more than 5% of your company.  Talk to the appropriate plan administrator if either of you earn more that 125,000 at your job ... (or own more than 5% of the company you, or spouse works at).   And...Self-employed people can also set up self-directed 401k plans...but i'm not discussing with that here.     ... View more

No.  A "hardship" is a regular distribution subject to tax and early distribution penalty.     "Hardship" only allows you to even have a distribution prior to retirement.    Some employer plans do not allow hardship distributions at all. ... View more