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-   -   Regarding credits for taxes paid to other states (https://www.askmehelpdesk.com/showthread.php?t=786889)

  • Mar 15, 2014, 10:00 AM
    collegian
    Regarding credits for taxes paid to other states
    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.
  • Mar 15, 2014, 10:13 AM
    AtlantaTaxExpert
    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.
  • Mar 15, 2014, 10:18 AM
    collegian
    Quote:

    Originally Posted by AtlantaTaxExpert View Post
    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.
  • Mar 15, 2014, 10:47 AM
    AtlantaTaxExpert
    You would show what your actual Missouri tax was, which can be found on Line #25 of Missouri Form MO-1040.
  • Mar 15, 2014, 11:05 AM
    collegian
    Thanks! So, it's the total tax (withheld + underpayment).
  • Mar 15, 2014, 11:12 AM
    AtlantaTaxExpert
    Yes, that IS correct!

    Glad to help!

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