Hi,

I lived in PA all of 2008, my Fiancé lived in NY (upstate) up until Aug 1st 2008, and then moved to PA. We got married in October. I filed jointly with Turbotax for federal, but when doing the state taxes it calculates that we owe $600 for PA tax, and $250 for NY tax. I don't understand this since she had NY tax taken out of her pay while in NY, and my pay, all of which was earned in PA doesn't get taxed in NY, right? In addition, PA tax has been taken out of both of our pay, why is there a $600 charge? Would I be better off filing as a single for her in NY, and also single for her and I in PA? What's going on?

Any help appreciated,

Brad

You were married on the last day of the year; that means you cannot file single. You may file married filing separately if you wish.

You owe no NY tax since you were nonresident in NY. She may owe additional NY tax because not enough was withheld there and owe some PA tax if she worked in PA.

Look to the instructions of both states tax returns.

On PA return, you are resident for all the year and report your worldwide income. Your spouse is part year resident and will report income earned while in PA.

On NY return, you are nonresident and do not have any NY income. Your spouse is part year resident and will report income earned while in NY.

On PA return attach NY return and on NY return attach PA return.