Requesting guidance of which VA and DC personal income tax forms are required for the following circumstance
1) Taxpayer lived in VA from 1/1/2017 to 7/24/2017. Worked in VA and had VA state tax withheld.
2) Taxpayer moved to DC 7/25/2017 until present (permanently). Continued to work in VA but had DC tax withheld.
3) DC withholding is excessive so want to make sure to get refund or credit.
I think I need:
1) VA form 760 with supporting VA schedule OSC to capture DC taxes paid. Report full federal income (both VA and DC income combined), use actual DC taxes owed from D-40 - not excessive withheld amount, and use OSC to calculate the DC tax credit.
2) DC form D-40 with partial year box selected. Prorate standard deduction and personal exemption per number of days lived in DC. Calculate taxes owed on DC income only and request refund of excess DC withholding.
Is this correct? I don't think VA 760PY applies because taxpayer lived in VA for more than 183 days.
Thanks in advance for any guidance you can provide. This must be a common scenario in the DC area but I am not from there (helping a family member).
1) Taxpayer lived in VA from 1/1/2017 to 7/24/2017. Worked in VA and had VA state tax withheld.
2) Taxpayer moved to DC 7/25/2017 until present (permanently). Continued to work in VA but had DC tax withheld.
3) DC withholding is excessive so want to make sure to get refund or credit.
I think I need:
1) VA form 760 with supporting VA schedule OSC to capture DC taxes paid. Report full federal income (both VA and DC income combined), use actual DC taxes owed from D-40 - not excessive withheld amount, and use OSC to calculate the DC tax credit.
2) DC form D-40 with partial year box selected. Prorate standard deduction and personal exemption per number of days lived in DC. Calculate taxes owed on DC income only and request refund of excess DC withholding.
Is this correct? I don't think VA 760PY applies because taxpayer lived in VA for more than 183 days.
Thanks in advance for any guidance you can provide. This must be a common scenario in the DC area but I am not from there (helping a family member).