Hi Turbotax Community,
I realized the limitation of Turbotax when dealing with NJ / NY Part Time Resident when processing NJ Tax Return.
Here is my situation:
- I moved from NY (New York City) to NJ last October. I am working in NY but living in NJ.
- My NY W2 contains all my income (assuming $50,000), however my NY city taxable income only includes period from Jan, 2024 - Oct, 2024, which is $45,000.
- but my NJ W2 contains only the income from Oct, 2024 - Dec, 2024. (assuming $10,000).
- My Federal W2 is $50, 000.
When deciding the total wages for NJ, Turbotax asked me "Let's Confirm Your Taxable State Wages from my company":
- State ID | State Wage Amount (box 16) | Remove These Wages
- NY. | $50, 000. | ___
- NJ. | $10, 000. | ___
I cannot just remove NJ wages, because "some deductible at Federal level doesn't work from NJ level". (Why I know that? Because I was living in NYC. NY city only tax the income from Jan, 2024 - Oct, 2024 when I was living in NYC, my NYC income $45,000 + my NJ income $10, 000 > federal amount $50, 000).
Should I manually update my "Total Wages Worksheet" for NJ, and adjusting the total wage to the correct amount? (Which should be NY city taxable income + NJ taxable income = $55, 000)
