State tax filing


@timk78 wrote:

when I file for my non-resident new york state taxes, do I need to report only the paycheck/income where new york state taxes were deducted, or do I report all income received in 2021, for even those paychecks where I earn in Virginia, and Virginia deducts state taxes?


Your NY non-resident tax return only reports and pays tax on NY-source income paid to you in 2021.  However, you will probably be asked by Turbotax to manually allocate your income.  (You will be asked to allocate all your income, including bank interest and investments as well.  It's a bit annoying, but nothing would be NY source income except this back pay.)

 

Separately, I'm not entirely convinced this is NY-source income.  However, because of the VA tax credit for out of state taxes paid, and the fact that NY's income tax rate is only 0.75% higher than VA's rate (for most taxpayers) it's probably not worth it to make a fight over it.