Two states - Maryland and West Virginia

[reswedberg]

I have a client who lives in Maryland, earns his salary in Maryland but sold some land in West Virginia in 2020.  I added WV to the client profile but indicated that Maryland the state of residence.  I "tagged" all the income and deductions to the drop down state of Maryland except for the Schedule D sale of land in WV. The program is telling me that the entire AGI is attributed to WV.  It seems to be very confused about which income is taxable in Maryland and which is taxable in WV.  I called tech support, was on hold for over an hour, and the person was not able to help me with this problem.

Thanks, 

Robert

[itonewbie]

Under Genera > Client Information, did you do the following?

• Select MD for Resident State as of 12/31;
• Check the box for Full Year Resident?
• Check the box for Multi-State Return?

[reswedberg]

Yes, I have those settings but still have the problem.

[itonewbie]

I think you're confused.  What you see is not WV taxing the entire AGI.  Instead, it's WV computing NR income tax on an as-if basis and prorating the tax for NR-WV income.  See these on the WV return and follow the money:

• Sch A (Form IT-140)
• IT-140, Line 8