I lost my job due to COVID ion 2020 but I was fortunate enough to receive some severance pay. However I do not know how to allocate this on my state returns. Here is my situation . . .
I lived in NJ for 100% of 2020
My company HQ was in RI but I worked out of a satellite office in NY.
I was made redundant and stopped receiving my salary in April 2020
I started receiving severance pay in June 2020
I did not spend a single day in NY in 2020
My W2 withholdings were for NY
for 2019 I filed both NY and NJ state returns with 100% income allocation to NY but NJ resident
For 2020 I will will also allocate my income while employed (Jan-April) to NY but can I allocate the severance portion of my earnings (June onwards) to NJ and not NY given that I was no longer employed and did not perform any duties in NY or enter NY while receiving this income?
Allocating the severance portion to to NJ reduces my tax burden.
