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February 3, 2022
Question

No Income Earned. Do I file State Return?

  • February 3, 2022
  • 1 reply
  • 0 views

Hello,

 

Do I need to file a Louisiana state return? Or just Utah? Here's the details.

 

My wife earned income from UT as a teacher. We lived there Jan-May 2021. We moved to LA and were not employed the rest of 2021. I was a full-time student. She stayed at home with children. We lived with her parents.

 

She  and our children utilized Louisiana medicaid from September 2021-December 2021 if that matters. I used Healthcare marketplace in Louisiana. I reported my marketplace premiums in our federal return.

 

Thanks!

    1 reply

    February 3, 2022

    Nonresident and part-year resident taxpayers who are required to file a federal individual income tax return are required to file a Louisiana income tax return, IT-540B, reporting all income earned from Louisiana sources. The calculations require that a taxpayer report all income from all sources in order to determine a ratio of Louisiana adjusted gross income to Federal adjusted gross income. Only income earned from Louisiana sources, however, is taxed.

     

    There is more information at the Louisiana state tax website. Need to file Louisiana

     

    Because you are required to file a federal return to reconcile your Premium Tax Credit from the marketplace, you will also need to file a Louisiana return. It will allot your income from Utah so you are not double taxed on the same income.