MASSACHUSETTS
separate property state

 

Military Income:  Fully taxable.

Military Spouse Residency Relief Act:  Service member in state in compliance with military orders. Spouse in state solely to be with service member. Spouse must be a resident of same state as service member. Complete Form M-4-MS, Annual Withholding Tax Exemption Certificate for Military Spouse and validate annually.

Forms Used:            

Make sure you also include any required schedules.  If preparing return by hand, do not staple forms together. 

Filing Status:  Couples can file joint or separate returns.  A joint return is not allowed if both spouses were not residents for the same portion of the year. NOTE: If filing married filing separate, interest might be wrong. Double-check and insert the correct figure.

Attach Copy of Federal Return:  No

Not Taxed: 

Other State Tax Credit:  Available.  May need to use worksheet in book to compute.  Attach copy of other state return.  If taxpayer had income, interest, dividends, or capital gains taxed by another state, separate worksheets are used to compute credit. 

Where to Mail:
Refunds: Tax Due:
Residents:
Massachusetts Department of Revenue
PO Box 7001
Boston, MA  02204
Massachusetts Dept of Revenue
PO Box 7002

Boston, MA  02204
Nonresidents:
Massachusetts Department of Revenue
PO Box 7054
Boston, MA  02204
Massachusetts Dept of Revenue
PO Box 7003
Boston, MA 02204
Forms:  (617) 887-6367 Electronic Filing:  (617) 887-5016
Other Info:

Taxpayers Assistance
19 Staniford Street

Boston, MA  02204

Website:  www.dor.state.ma.us
Military Website
E-filing Info:  Retain M-8453 for 3 years.  The following CANNOT be filed electronically:
  • A Married Filing Separate State Return if the federal is filed jointly.
  • A first-time return with the state of Massachusetts. If this is the first return filed with the state, it must be mailed in.
Tax Form Instructions:
Resident Instructions Non-Resident Instructions

 

Filing Status Scenarios

1.  Taxpayer and Spouse Residents (Use also for Single Taxpayer)
2.  Taxpayer and Spouse Different States of Residence
3.  Taxpayer and Spouse Non-Residents
4.  Taxpayer Non-Resident - Spouse Part-Year Resident
5.  Taxpayer Married or Single - Resident but Income from Other State
6.  Amended Return

 

1.  Taxpayer and Spouse Residents (Use also for Single Taxpayer) - Taxpayer and spouse are both Massachusetts residents, lived at their present location all year, and one or both had income.

Main Info Screen.

 

Massachusetts Form 1.  A joint resident Massachusetts income tax return is prepared.

 

Massachusetts Schedule MA Sch HC Pg 1.  In order to avoid a penalty on the tax return, residents 18 and over are required to have health insurance, if it is affordable for them.  Complete the schedule as shown for military families that do not have any other type of private health care insurance. Complete item 2 if applies to you. Answer item 3 as it applies to the taxpayer/spouse. For individuals that have no other health insurance other than that provided to military members and their dependents, complete item 4 as in the example below.

Complete all other fields and forms with red or required information.

2.  Taxpayer and Spouse - Different States of Residence - Taxpayer or spouse is a resident of Massachusetts, while the other member is a resident of a different state.  A Massachusetts income tax return must be prepared due to the taxpayer or spouse having Massachusetts earned income.

Main Info Screen.  Couples can file joint or separate returns.  A joint return is not allowed if both spouses were not residents for the same portion of the year.  For this example, the taxpayer is a resident of Massachusetts while the spouse is a resident of North Dakota.

Resident/Nonresident Worksheet.  Review form to ensure income is split correctly for the appropriate states.

Massachusetts 1 Form.   A married filing separate Massachusetts income tax return should be prepared for the taxpayer.  Even though the software will allow e-filing, the state of Massachusetts will not allow this time of return to be e-filed and will reject the return.  Do Not E-File.

Massachusetts Schedule MA Sch HC Pg 1.  In order to avoid a penalty on the tax return, residents 18 and over are required to have health insurance, if it is affordable for them.  Complete the schedule as shown for military families that do not have any other type of private health care insurance. Complete item 2 if applies to you. Answer item 3 as it applies to the taxpayer/spouse. For individuals that have no other health insurance other than that provided to military members and their dependents, complete item 4 as in the example below.

Complete all other fields and forms with red or required information. THIS RETURN CANNOT BE E_FILED AND MUST BE MAILED IN.

3.  Taxpayer and Spouse Non-Residents - Taxpayer and spouse are residents of a different state.  The spouse and taxpayer must file a Massachusetts tax return due to one or both having Massachusetts earned income.

Main Info Screen.  If both members are residents of another state, the parties should file as nonresidents.  For this example, the taxpayer and spouse are both residents of Wisconsin but must file a Massachusetts income tax return because the spouse worked in Massachusetts.

Resident/Nonresident Worksheet.  Review form to ensure income is split correctly for the appropriate states.

To comply with the provisions of the Service Members Civil Relief Act, a married filing separate Massachusetts income tax return should be prepared.  If any other filing status is used the nonresident military pay should not be included on line 7 of Schedule NTS-L-NR/PY as non-Massachusetts source income.

Massachusetts Form 1 NR/PY.   Married taxpayers may file married filing jointly or married filing separately.  Check both options to see which one benefits the taxpayer more.  In this example, we show them using married filing jointly.  The legal residence address must be completed.  (Married Filing Separate returns may not be e-filed and must be mailed in by the taxpayer.)

Review the remainder of the Massachusetts Form 1 NR/PY and complete all other fields and forms with red or required information.

4.  Taxpayer Non-Resident - Spouse Part-Year Resident - Taxpayer and spouse moved to or from Massachusetts during the tax year.  The taxpayer is a resident of a different state.  The Spouse is a part-year resident of Massachusetts.  The Spouse and taxpayer must file a Massachusetts tax return due to one or both of them having Massachusetts earned income and possibly income from another state.

Main Info Screen.  For this example, the taxpayer is in the military and a resident of North Carolina.  The taxpayer and spouse moved from Massachusetts to North Dakota during the year.  The spouse was a resident of Massachusetts but is now changing their residency to North Dakota for tax purposes.  The spouse therefore was a part-year resident of both Massachusetts and North Dakota and must file a Massachusetts income tax return because the spouse worked in Massachusetts.

Part Year Resident States Worksheet.  Review form to ensure income is split correctly for the appropriate states.

Massachusetts Form 1 NR/PY.   Married taxpayers may file married filing jointly or married filing separately.  Check both options to see which one benefits the taxpayer more.  In this example, filing with married filing jointly status resulted in the larger refund.  The dates of residency must be entered. Married filing separate returns may not be e-filed and must be mailed in by the taxpayer.

Review the remainder of the Massachusetts Form 1 NR/PY and complete all other fields and forms with red or required information.

5.  Married or Single Military Resident of Massachusetts with Income from Another State  - Taxpayer is single.  The taxpayer must file a Massachusetts tax return due to him or her having Massachusetts earned income.

Main Info Screen.  For this example the taxpayer is a military member stationed in North Dakota but a resident of Massachusetts.  The taxpayer had a job in North Dakota therefore having North Dakota earned income.

Resident/Nonresident Worksheet.  Review form to ensure income is split correctly for the appropriate states.

Massachusetts 1 Form.  A resident Massachusetts income tax return is prepared.  Massachusetts taxes residents on income from all sources, even income earned while living in another state (North Dakota as in this example).  

Massachusetts Schedule MA Sch HC.  In order to receive a Massachusetts personal exemption on the tax return, residents 18 and over are required to have health insurance, if it is affordable for them.  Complete the schedule as shown for the military member that does not have any other type of private health care insurance. Enter family size. Answer yes to the health insurance question. Note the question on line 3 directing individuals enrolled in Tri-Care to Line 5 on Page 2 of the Sch HC.

Massachusetts Schedule Z and DI - Other Credits and Dependent Information.  Massachusetts Wkt 2 must be added to the tax return to give a credit for taxes paid to another state.  Enter the amount of income tax paid to the other state (North Dakota) on line 12. 

Complete all other fields and forms with red or required information.

6.  Amended Return  - An amended Massachusetts return must be filed because the taxpayer received new tax information after their Massachusetts return was filed.
Federal 10CA-6 Form.  Before making any changes to the tax return add the US 1040X form to the tax return.  You must check the box under Income and Deductions to lock in the entries in Column A - Original amount or as previously adjusted.

MA - Amended Income Tax Return Worksheet -  Add the Massachusetts Amended Income Tax Return Worksheet to the return.  You must check the box to lock in the entries in Column A - As reported on original, before making any changes to the return.

Make whatever changes are required to the federal tax return.  For this example, a new W-2 was received.

Massachusetts CA-6 -Application for Abatement/Amended Return.  Answer the questions as in the example.  You must enter the reason you are preparing the Amended return.  Enter the current date in the Date field.

Amended returns can not be e-filed.  The taxpayer must mail the federal 1040X and any state amended returns if required to be filed.