Part-year resident of AR and AL. I cannot figure out how to allocate Interest Income between the two states. I have entered and divided interest income on the Allocation Worksheet but the full amount still shows up on Alabama (the current state of residence). Can anyone help out a new-bee?
Im not familiar with AL, but some states will still use total income, then use a ratio % to compute the tax on it based on the allocated amount....you may want to print out the AL return and walk through the math on it to see the mechanics.