How Do I Claim the Maine Credit for Taxes Paid to Another State?

If you're a Maine resident and paid income tax to another state on the same income, you may qualify for the Maine Credit for Income Tax Paid to Another Jurisdiction. Maine allows this credit to help prevent the same income from being taxed twice. The credit is claimed on Maine Schedule A, Line 15. 

The credit for taxes paid to another state is automatically calculated in your account when you add a Nonresident return to your already created Resident Maine return if you pay taxes to both Maine and another state.

What If I Have a Maine Part-Year Resident Return?

If you're filing a Maine part-year resident return, you may need to enter the credit information manually in your Maine return.

To enter the credit in the program:

1. Select State from the left-side menu.
2. Click the three dots next to your Maine return and choose Edit.
3. Select Begin next to Credits.
4. Select Begin next to Credits for Taxes Paid to Another State.
5. Choose Name of Other State.
6. Enter the requested information from the other state's return.

Be sure the other state's return has been completed first so you have the tax information needed to calculate the credit correctly.

Maine Instructions

• Form 1040ME Maine Individual Income Tax Instructions