If you are a nonresident of Nebraska but earn income in the state, you may be required to file a Nebraska nonresident income tax return. To simplify the process, the state has a nonresident income tax agreement form, known as Form 12N.
What is Form 12N?
Form 12N is a nonresident income tax agreement between the state of Nebraska and nonresident taxpayers who earn income in the state. The form is used to report income earned in Nebraska and calculate the taxes owed to the state. It also serves as a waiver of the right to protest or contest the tax liability.
Who needs to file Form 12N?
Nonresidents who earn income in Nebraska are required to file a state tax return. This includes income earned through a job, self-employment, or a business with an office or location in Nebraska. Nonresident individuals, partnerships, and corporations must all file Form 12N.
How to file Form 12N
To file Form 12N, nonresident taxpayers will need to gather all income and expense information related to their Nebraska-derived income. This includes any W-2s, 1099s, or other income-related documents. They will then need to prepare their federal tax return using either Form 1040NR or 1040NR-EZ and use that information to complete Form 12N.
When to file Form 12N
Form 12N is due on April 15th of each year, which is also the same deadline as the federal tax return. Nonresident taxpayers who are unable to file by the deadline can request an extension by filing Form 4868, which will give them an additional six months to file.
In conclusion, nonresident taxpayers who earn income in Nebraska should be aware of the nonresident income tax agreement form, Form 12N. This form simplifies the process of filing a Nebraska nonresident income tax return and calculating taxes owed to the state. By understanding the filing requirements and deadlines, nonresidents can avoid penalties and ensure compliance with Nebraska tax laws.
