Take a look at your W-2, were state taxes withheld for NY or NJ? If NY, all your income is considered NY-source income and you pay income tax to NYS. But you will receive a credit for taxes paid to NY on your NJ state return. At the end, if you have no NJ income, the taxes paid to NY give you enough credit to reduce your NJ taxes to minimal.
Always prepare the NYS return first, taxes paid to NY will carry over to NJ properly.
@llewis96
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
