Other states Tax

[derivative20]

My friend in three states, she lives in New York City, remotely work Indiana & commute to work in New Jersey. All are part-time teaching job. Turbo tax includes all her income in New York state and tax her on it. Now how can i separate all others state income from New York state? Thank you!

[JohnB5677]

She will always have all of her income taxed in NY because that is where she lives.  

• She does not owe any tax to Indiana because she did not work in the state.  
• The income she earned in New Jersey will require a New Jersey tax return.  
  • The amount will only be the income she eared in that state.
• You will then get a credit for the tax paid in New Jersey on the New York Tax return.
  • If the New York tax is higher than New Jersey she will have to pay the extra tax.

[derivative20]

Thank you for responding promptly, is there any form to file my state credit for  New Jersey’ &  Indiana?? Thank you again!!

[ErnieS0]

Yes. You can claim a credit on the New York state return for tax paid to Indiana and New Jersey.

TurboTax will compute the credit if you prepare the nonresident states before you prepare the New York return.

On the screen Take a look at New York credits and taxes, look for Taxes Paid to Another State, if the screen does not come up by itself.

Fill in the info if it is not already there. Confirm the numbers if TurboTax filled them in for you.