Terry D EA Posted March 8, 2014 Report Share Posted March 8, 2014 First time that I have ever seen one of these. Client is a resident of NC and received a 1099 G from Maryland. No Federal tax withheld or State. Program is generating a MD non-resident State return along with the NC. Shows an amonunt due to Maryland and a credit to NC for taxes paid to another State. I got the NC part but am just a bit confused with the MD. I am assuming that because this money was from MD and earned in NC that it is taxable to MD and only a portion is taxable to NC. Am I on track here or is there something that I am missing. Everything seems right but because I am unfamaliar with this type of 1099G that makes me feel a bit uncomfortable. Quote Link to comment Share on other sites More sharing options...
joanmcq Posted March 8, 2014 Report Share Posted March 8, 2014 What is the income for? Unemployment? I have a client that received UE from NY for a year after he moved out here. Since he's in the performing arts, he still works in NY occasionally. Had to file NY nonresident & pay tax there. If both states tax UE (or what ever type of income it is), then that treatment is correct. Pays tax to MD & gets a credit for tax paid on the resident state return. Quote Link to comment Share on other sites More sharing options...
MsTabbyKats Posted March 8, 2014 Report Share Posted March 8, 2014 Yes....it works the same way as unemployment insurance. It's taxable to the state that pays it....but if you reside in another state, you get a credit. Quote Link to comment Share on other sites More sharing options...
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