Questions & Answers

What is the credit for taxes paid to another state?

If you paid income tax to another jurisdiction for 2021, you may qualify for a credit against your Maine income tax. To qualify, you must have paid tax to another state, a state political subdivision, the District of Columbia, a Canadian province, or a comparable foreign political subdivision.

The tax you paid to the other jurisdiction must be directly related to the income you received during the tax year from sources in the other jurisdiction, and the income must be included in your Maine taxable income.