Question

Does TurboTax calculate state credits when completing 2 part year resident forms? I did manual calcs to reflect income in ea state. How do I see if credits were applied?

Forum|Forum|3 years ago
April 15, 2023
1 reply
0 views

This is for CA & AZ. I moved to AZ in April. So 4 months income for CA, 8 months income AZ. When I entered these amounts in TurboTax, my state refund ended up being a wash. Refund for CA, owe for AZ. Does this sound correct, or a likely scenario?

TurboTax Free Edition Online

M

Mike9241

not sure what you did but as part year resident of 2 states you don't get credit on state A for taxes paid to state B if not a resident of state A and vice versa. in other words you only pay CA taxes on the income earned while a resident there. Same with AZ. the exception would be if you had income sourced in one state when a resident of the other. for example if you had rental property in CA after the move AZ would tax you on it as would CA but then for AZ you would get a credit for the taxes allocable to rental income earned after the move.