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collegian
Mar 15, 2014, 10:00 AM
Hello,

I am trying to file my state income taxes. I work in one state and live in another. I first filled the income tax of the state where I am working.

Now, when I am filling the income tax of the state where I am residing, I get a question asking me to enter any amount of 2013 tax actually paid to other state(s).

Let's say I had an underpayment of $40 in the state where I am working. In this case, will the credit be $40 or will be ($40 + income tax withheld in the state where I am working)?

Thanks.

AtlantaTaxExpert
Mar 15, 2014, 10:13 AM
You need to determine you overall tax liability to the other state where you worked, and enter that amount on your resident state tax return.

Yyou know, more specific instructions are possible if you identify the states.

collegian
Mar 15, 2014, 10:18 AM
You need to determine you overall tax liability to the other state where you worked, and enter that amount on your resident state tax return.

Yyou know, more specific instructions are possible if you identify the states.

I am not sure what you mean by overall tax liability. Is it the grand sum of taxes paid to the work state (withheld+paid)? The resident state is Kansas and work state is Missouri.

AtlantaTaxExpert
Mar 15, 2014, 10:47 AM
You would show what your actual Missouri tax was, which can be found on Line #25 of Missouri Form MO-1040.

collegian
Mar 15, 2014, 11:05 AM
Thanks! So, it's the total tax (withheld + underpayment).

AtlantaTaxExpert
Mar 15, 2014, 11:12 AM
Yes, that IS correct!

Glad to help!