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April 18, 2022
Question

What should I include in the "Illinois part year and nonresidents" section, it asks for Business income and also rent and royalties but I don't have a business in IL?

  • April 18, 2022
  • 1 reply
  • 0 views
After reporting how much income I made in Illinois out of my total income it leads me to the next page that says "Illinois part-year and nonresidents". That page asks for "Business Income (Loss)" as well as "Rents, Royalties and k-1 income". Im kind of confused on that part since I don't live nor have a business in Illinois, and even though I put zero as the page says I can it then asks me to allocate my federal income in the business income section.

1 reply

DawnC
Employee
April 18, 2022

When you allocate income for part-year returns, you have to allocate each segment of income such as Wages, Business Income, Rental Income, Gambling Income, etc.   You might not have all of these categories.   The screen should show you the total for each category and then you can tell TurboTax how much of that income should be allocated to IL.   If you have total wages of 30K, you might indicate 20K of that belongs to IL.    But if you have no business income or rental income, you can only allocate $0.    

 

Did you receive any income from rental property or on Form 1099?   Form 1099 income is usually business income on Schedule C.    Your state return would ask you how much of this business income belongs to IL.   If you don't have business income or your business income was earned in another state, you should allocate $0 to IL.  

 

How to allocate income?

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