Form 1-NR/PY (2023): Massachusetts Nonresident/Part-Year Tax Return

The Form 1-NR/PY is a tax return used by individuals who were not residents of Massachusetts for the entire tax year (2023) but earned income within the state. It's also used by residents who only lived in MA for part of the year.

Who Needs to File Form 1-NR/PY?

A. Nonresidents: Anyone who earned income in MA during 2023 but doesn't consider MA their primary residence.

B. Part-Year Residents: Individuals who established residency in MA during 2023 but didn't live there for the entire year.

What Information Do I Need to File Form 1-NR/PY?

A. Federal Tax Return: You'll need information from your federal tax return (e.g., Form 1040) to complete the 1-NR/PY.

B. Income in Massachusetts: This includes wages, salaries, tips, investment income, rents, and any other income earned while residing or working in MA.

C. Days in Massachusetts: The number of days you spent physically present in Massachusetts during 2023. This is used to calculate the portion of your income taxable by MA.

Key Points to Remember About Form 1-NR/PY:

Income to Report: All income earned within Massachusetts during 2023, including wages, salaries, interest, dividends, and capital gains.

Part-Year Calculation: A portion of your income is taxable in MA based on the number of days you resided in the state during the tax year.

Deductions: You may be eligible for deductions that reduce your taxable income, such as the standard deduction or itemized deductions.

Tax Rate: Massachusetts has a flat income tax rate of 5%.

Filing Options: You can file electronically (e-filing) or by mail.

Digital Assets: Report income or gains from digital assets earned or disposed of in 2023.

No Dwelling Outside MA: If you don't have a primary residence outside of MA, you might qualify for a specific deduction (consult the instructions).

Estimated Tax Payments: If you expect to owe significant MA taxes, consider making estimated tax payments throughout the year to avoid penalties.

To access the current year's Form 1-NR/PY, click here.