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I live in massachusetts but worked in vermont for most of last year. I paid taxes in both states but thats to be expected and not what im confused about. I thought that I would get almost all of my vermont taxes back but im only getting a very small refund. On top of that I'm getting a small massachusetts refund. My understanding was that i would get almost all of my vermont taxes back or it would be "credited" towards massachusetts taxes.

2007-03-16 22:30:44 · 2 answers · asked by Brian M 1 in Business & Finance Taxes United States

2 answers

Since you worked in VT, they are entitled to tax the income you earned there. And since you lived in MA, they are entitled to tax income earned anywhere.

On your MA Form 1 return, you claim a credit for the VT taxes on line 12 of Schedule Z and transfer that amount to line 29 on Form 1.

The amount of any refund is based on two things -- your tax liability and how much tax was withheld.

2007-03-16 22:55:34 · answer #1 · answered by Bostonian In MO 7 · 1 0

At her income aspect she will be in a position to no longer owe any federal tax and probable no DC or MT taxes both. scholars attending college faraway from living house do not change their living house so for tax applications she is a non-resident of DC. She ought to document a DC non-resident go back and ought to pay tax in person-friendly words on the DC sourced income. She ought to then document a resident MT go back and ought to pay tax on her international-huge income. MT ought to provide her a credit for the DC taxes paid, as a lot because the quantity of tax that MT ought to have amassed. For tax applications, DC is treated as a state in spite of if it isn't legally a state. States could provide credit for taxes paid to a distinct state yet no longer unavoidably for community city and county income taxes. again, it is a moot aspect at her income aspect. She'll could verify if it really is fairly surely worth the worry to assemble a $3 refnd from DC.

2016-11-26 01:31:39 · answer #2 · answered by ? 4 · 0 0

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