topic NJ Tax Credit Calculation for NY Income in State tax filing

NJ Tax Credit Calculation for NY Income

rob22bn — Mon, 14 Oct 2024 20:00:04 GMT

Hello, I live in NJ and work in NY. I am a partner at a law firm and receive guaranteed payments which majority of the income is sourced in NY. My wife works in NY and is a W2 employee. When calculating Schedule NJ-COJ can I combine the portion of my NY K1 income and my wife's W2 income to get a total income for NY or line 1 on the schedule?

Re: NJ Tax Credit Calculation for NY Income

Anonymous_ — Fri, 20 Dec 2024 02:36:21 GMT

Re: NJ Tax Credit Calculation for NY Income

TomD8 — Tue, 15 Oct 2024 14:44:58 GMT

From page 33 of the instructions for Form NJ-COJ:

"When claiming a credit for taxes paid to New York, the amount on line 1 must reflect the “New York State Amount” actually taxed by New York from the New York IT-203."

https://www.nj.gov/treasury/taxation/pdf/current/1040i.pdf#page=33

With TurboTax be sure to complete your non-resident NY tax return before you do your home state NJ tax return. The problem should then calculate the "other jurisdiction tax credit" for you.