Interest Income on State Tax Returns when you move halfway through the year.

[BKAnes]

Hi all. Ive been attempting to do my taxes by hand as recommended in the WCI book to improve my understanding of the tax code and then I plan to confirm my calculations with TurboTax. However, I'm struggling with certain portions of the state returns. My wife and I moved from New York to Michigan in June of 2016. We have interest income from a few different bank accounts and I'm trying to figure out how to allocate the income from different back accounts between the two different state tax returns. My understanding is that it generally has to do with how much income you received while living in each of the different locations, and/or the source of the income. Some of the interest income is from a local NY credit union and we received some of that income while living in Michigan. Is that income allocated to NY or Michigan. Thanks in advance for any help!

[The White Coat Investor]

I'd allocate it to NY since you'e filing a NY return anyway and it was in New York. Next year, I'd just throw it on your Michigan return. I suspect there is no wrong answer as long as you claim it somewhere.