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State tax filing

Yes, all income will be reported on your NY nonresident state income tax return if filing jointly (regardless of source or if from husband or wife). However only the NY-source portion of the income reported will be taxed in NY.

NY taxes all the income reported when calculating NY state income taxes (whether resident, part-year resident or nonresident) but you will only be required to paid a portion of the total NY state income taxes calculated (your percentage of the total NY tax that relates to your NY source income only)

Each state has a different ways of calculating state income taxes.

The way that the NY state income tax return works is that NY looks at all of your income from all sources and generates a total NY state income tax on all income. When NY is determining the actual NY state income taxes that you owe, NY multiples the total NY taxes on all income by the percentage of NY source income over all source income. So if all your income is $10,000 but NY source income is $8,000, NY will calculate the NY state income tax on $10,000 then multiply this total tax by your NY source income over total income ($8,000/$10,000) to get your percentage of NY state income taxes on your NY source income. So in this instance, your NY state income tax liability would be 80% of the total amount of NY taxes generated (on all income). That is why all your income is being reported on your NY state tax return.

You can preview your NY Tax summary to see what portion of the total taxes for NY you are actually paying.

To preview NY Tax Summary:

  • TurboTax Online sign-in, click Here
  • Under Tax Timeline, click on Take me to my return
  • Go to "My Account" > "Tools"
  • Under the Tools Center, select "view tax summary"
  • Select "NY Tax Summary"

Just follow the TurboTax guide when working on your states (remembering to do your nonresident state return first) and TurboTax will do all the calculations and credits to your resident states return

Here is additional information about filing in multiple states (select "see more answer" to view the entire attachment)

 

https://ttlc.intuit.com/replies/3300797

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