topic How to attribute moving expense reimbursement on state returns? in After you file

How to attribute moving expense reimbursement on state returns?

nszymano — Fri, 21 Feb 2025 15:51:22 GMT

I moved from Canada to New Jersey for a job in New York. My employer reimbursed $4000 and withheld taxes from the repayment to me.

My employer is located in NY and reported the $4000 as NY state income on my W-2. My employer told me that tax law dictates that box 1 and box 16 on my W-2 need to match, even though New York does not tax moving expense reimbursement. They said that my “true” NYS income when filing is $4000 less than what is reported on my W-2. When I use turbotax to fill my return it automatically pulls box 16 from my W-2. Do I need to reduce this amount by $4000 when filing?

Furthermore, I moved to NJ not NY. So I am under the impression that the $4000 would not be allocated to NYS anyways.

Do I reduce my NYS income by $4000 when filing?

Re: How to attribute moving expense reimbursement on state returns?

MaryK4 — Fri, 21 Feb 2025 22:44:48 GMT

You will need to enter the Moving Expenses in the federal section of TurboTax. You will have to enter the expenses to subtract the income from the New York state return. (TurboTax did not change the entry even though the moving expenses are not deductible on the federal return, but it will transfer to the New York return.)

Re: How to attribute moving expense reimbursement on state returns?

nszymano — Fri, 28 Feb 2025 14:05:26 GMT

Thanks Mary. I don't see the deduction on the NY return. Where in the the return can I check this has been properly transferred over?

Re: How to attribute moving expense reimbursement on state returns?

nszymano — Fri, 28 Feb 2025 14:08:37 GMT

Hi Mary, I did find where it should populate in the NY return. Just FYI the amount entered in the federal return is NOT automatically inputted in the NY state return. Not sure how to flag to this turbotax, as I imagine others may have this issue.