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Moved from NY to NC. NY is taxing my entire income for the year. Is that right?

In 2018 I spent the first 3 months in NY. My only income was from dividends in which the NY portion was $1035. I then moved to NC where I worked full time for the remaining 9 months of 2018. After going through the NY state portion of TurboTax, it gives me a summary saying "Amount we start with for NY: $67,094"... Then it subtracts the standard deduction and says "Amount taxed by New York: $59,094"

 

Is this right? Why would NY be taxing my NC income? I double checked and made sure that the only income I entered for NY was the $1035 from dividends.

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2 Replies

Moved from NY to NC. NY is taxing my entire income for the year. Is that right?

What is the tax actually charged by NY... and that becomes a credit on the NCtsx in any event

Does’t It take a percentage of total income and only tax that
IsabellaG
Expert Alumni

Moved from NY to NC. NY is taxing my entire income for the year. Is that right?

The way that NY calculates your tax as a part-year resident is to compute the tax based on your entire income, then apply a percentage to the tax based on how much of your income is from New York sources, or was earned when you were a NY resident. If you look at line 45 of your Form IT-203, you will see the income percentage. Line 46 shows the allocated NY tax.

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