Skip to main content
February 17, 2025
Question

Massachusetts non-resident return. Question about the option to exclude non-MA rental/royalty and non-MA Sched C business?

  • February 17, 2025
  • 1 reply
  • 0 views

This is my first time to prepare a Massachusetts nonresident return (MA Form 1-NR/PY) for a temporary job's wage income.  I have other types of income in my resident state including Sch E rental/royalty and Sched C business, neither of which has any MA-sourced income.  

 

Other state returns I had in the past wanted the income reported, then allowed me to subtract it out as sourced in another state.   However, when going through the TurboTax state interview for MA, when you first click to enter the rental/royalty interview, it asks if you want to exclude the rental/royalty income from the state return.  Likewise, when you enter the MA Sched C interview, it first asks if you want to exclude the Sch C business.   There's no help item for those screens.  Ideally you would think there would be a "Learn more" link on that page.  If you choose to exclude, then there are no further questions in regard to the Schedules C or E.

 

Can I correctly assume that since I have no Massachusetts-sourced Schedule C income and no Massachusetts-sourced Schedule E income, that I can simply choose to exclude my Schedules C and E by answering "Yes" that I wish to exclude?

 

 

    1 reply

    AmyC
    Employee
    February 20, 2025

    You have experience with states prorating total income! MA does not do that. They just tax your MA income, straightforward simple calculation. Made $xx, pay $yy tax.

    Many states begin with the federal AGI, MA does not. They make their own MA income determinations and tax it. Absolutely fabulous question! Great job. You can check the forms and see how it all works out.

     

    To print or view  your forms:

    • In desktop, switch to Forms Mode. 
    • For online:
      1. On the left side, select  Tax Tools
      2. Select Print center
      3. Select Print, save or preview this year's return
      4. If you have not paid, select pay now.
    **Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"