Remove NY. It is common that the income in NJ might be slightly higher than what is listed for your Federal and NY returns. NJ considers a few things to be nondeductible, such as a Cafeteria 125 plan (for health insurance) as well as contributions to a retirement plan that is not a 401(k). If the NJ income reports slightly higher than NY and Federal, it is correct reporting.
What you don't want to see is NJ doubling up the income. If you do not selct the "Remove NY" line, NJ adds both the NJ and NY lines together, which results in much higher income and tax.
On the NJ return, you will later see a section regarding taxes paid to another state. In that section you will receive a credit for the tax you pay to New York on double-taxed income, that is, the income that New Jersey taxes you as a resident of NJ and that New York taxes you as someone working in New York.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
