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February 26, 2024
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State Taxes

  • February 26, 2024
  • 1 reply
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  • I live in Indiana and work in Kentucky.  It's my understanding NOW I don't have to file state taxes with Kentucky.  Why is filing with Kentucky even An option, in TurboTax??  I paid an extra $20 that I did not need to pay, to file Kentucky state taxes I don't have to file.

I won't be using TurboTax next year.

    Best answer by Hal_Al

    So, even though I DID make money in another state, I should answer No?


    Q. So, even though I DID make money in another state, I should answer No?

    A. Yes.  For tax purposes, working in a reciprocal state is not making money in another state. That is, you did not make money, in that other state, that was taxable by that other state.

    1 reply

    Employee
    February 27, 2024

    It's there in case Indiana residents had Kentucky taxes withheld from their paychecks. If so they would have to file in the non resident state to receive a refund of the money withheld.

    It's for taxpayers who may not have filed an exemption form with their employers. 

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    Hal_Al
    Employee
    February 27, 2024

    In the personal info section, when it asks if you made money in another state, answer NO, per the reciprocal state instructions, on that page. This will prevent TurboTax from thinking you need to file an KY return.

    Hal_Al
    Employee
    February 27, 2024

    Request for refunds should be directed  to TT Support. https://turbotax.intuit.com/support/contact/  use the term “billing issues” in the question box, not "Refund" or it will just give you the IRS phone number to check your refund status. Week days 5 AM - 5 PM Pacific time