Nonresident State Tax Return Explained — What You Need to File
📅 January 20, 2025 – ⏱ 4 minute read
😵💫 State taxes, residency rules… and your first U.S. tax season
New job, new campus, new state — and suddenly state taxes are part of your life. If you’re a nonresident in the U.S., filing the state return properly is just as important as filing your federal (1040NR). This guide explains when you must file, how residency works, what forms to use, and how to fix mistakes — step by step. 🧭
📚 Table of Contents
1️⃣ What is a nonresident state tax return?
2️⃣ How is state residency determined?
3️⃣ Do I have to file a nonresident state return?
4️⃣ Forms you’ll see for correct withholding
5️⃣ When can I file my state return? (2025 dates)
6️⃣ Reciprocity agreements (and why they matter)
7️⃣ Can I file federal before state?
8️⃣ Filed in the wrong state — now what?
9️⃣ File your nonresident state return with J1 Summer Tax Back
1) 🧾 What is a nonresident state tax return?
Some states require you to file a nonresident return if you earned income in that state but didn’t live there. Rules vary, but the idea is simple: states tax income sourced to them.
👉 No state income tax on wages in: AK, FL, NV, SD, TN, TX, WA, WY. (Other taxes may still apply.)
Most states coordinate through credits or rules so you don’t get taxed twice on the same income — as long as you file everywhere you should.
2) 📍 How is state residency determined?
It depends on the state. Common categories:
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Resident: domicile + sufficient presence
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Part-year resident: you moved in/out during the year
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Nonresident: you earned money there but didn’t live there
Many states follow your federal tax residency (nonresident vs. resident for tax purposes), but not all. If you lived in one state and worked in another, you may file two returns (one as resident/part-year, one as nonresident). 🧩
3) ✅ Do I have to file a nonresident state tax return?
Usually yes if you earned income in that state (wages, self-employment, certain scholarships/stipends, etc.). Thresholds and definitions vary.
Examples of nonresident forms:
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New York: IT-203 (Nonresident/Part-Year Resident)
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California: 540NR (Nonresident/Part-Year)
4) 🧾 Forms for correct withholding (so your paycheck is right)
Each state has its own withholding and filing forms (different from the federal W-4). Using the correct state forms helps avoid over- or under-withholding and surprise tax bills. Deadlines, extensions, and e-file options also vary by state. 📄
5) 🗓 When can I file my nonresident state return?
The federal deadline for 2024 returns (filed in 2025) is April 15, 2025. Many states match the federal date, but some don’t. Always check your state’s site if you moved or worked in more than one state.
6) 🔁 Reciprocity agreements (border-state commuters’ best friend)
Some neighboring states have reciprocity agreements so commuters pay only in their home (resident) state for wages, simplifying withholding. If no reciprocity, your employer withholds in the work state, and you typically file both returns (work-state nonresident + home-state resident with a credit for taxes paid to the other state). 🧠
7) 🧮 Can I file federal before state?
They’re often filed together because your state return pulls data from your federal return. If you e-file, you generally file federal first, then state. Waiting on a state refund to pay federal isn’t ideal — state refunds can take time.
8) 🛠 I accidentally filed in the wrong state — what now?
No stress — it happens! You’ll file an amended state return (each state has its own process).
Examples:
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CA amendments use Schedule X (with 540X logic built into modern filing).
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Attach the amended schedules and explanation, and keep all confirmations.
Correcting early prevents notices and penalty letters later. 📬
9) 🚀 File your nonresident state return with J1 Summer Tax Back
We help nonresidents and J-visa students:
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Determine which states you must file in (resident / part-year / nonresident)
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Prepare accurate nonresident and part-year returns (plus federal 1040NR)
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Apply credits and reciprocity correctly, so you don’t overpay
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Fix mistakes with clean amended filings when needed
Ready to file confidently — and correctly? We’ve got you. 🤝