In 2019 I began working in Philadelphia, PA while I live in NJ. When I got my W2 I noticed that I hadn't been paying NJ taxes on my income earned in PA (i.e. box 17 on my W2 doesn't have an amount). When I looked at the payroll program settings NJ taxes were listed as 'Blocked' and the only taxes I paid in 2019 for that job were federal, PA unemployment and the city tax for nonresidents. After talking to someone in HR they informed me that the payroll program company told them to set it up that way and that it was correct because of the reciprocity between NJ and PA.
Is this correct? After looking it up it seems to me that the reciprocity only means you don't have to pay taxes to both states?
