Questions & Answers

Which state can a part-year resident take the Credit for Income Taxes Paid to Another State in?

A part-year resident can take the Credit for Income Taxes Paid to Another State in the state they were a resident of while earning double-taxed income.

For example, if you lived three months in District of Columbia then moved to Virginia for the rest of the year, if you didn't earn any Virginia income before you moved from District of Columbia, then you wouldn't claim a credit for taxes paid to Virginia on your District of Columbia return.

However, if you worked for three weeks in Virginia early in the year before you moved to Virginia, then the wages you earned for those three weeks are taxed by both Virginia and District of Columbia so you can claim a credit for taxes paid to Virginia on those three weeks of wages on your District of Columbia return.

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