How to answer the question "Did you make money in any other states?"

Forum|Forum|2 years ago
March 13, 2024
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I am retired and live in SC. I am working part-time, virtually from SC for an organization in MI. SC taxes are taken out of my MI paycheck and not taxes for the state of MI.

Questions

1. One response I read on this forum said that one should not have to file a second state return if they have an out-of-state employer? Is that correct?

2. Another response I read on this forum said, "What matters is where you earned the income—not where your employer is located" and therefore it is not necessary to file a nonresident return for an out-of-state employer. Is that correct?

3. If these are true, and I do not have to file a return for MI, how does this get handled with TurboTax? Every time I select "yes" to making money in any other states, it brings up a button for a MI return. Please advise.

Thanks for your help

Best answer by AnnetteB6

As long as you performed all of your work in SC, you did not make money in another state. All of your money was earned in SC and you do not need to file a return for MI because the company that paid you is located in that state.