I moved from New York to Virginia 2 years ago. I recently received a backpay from NY with NY State taxes deducted when I now live in VA. do I need to pay VA instead?

Forum|Forum|4 years ago
November 26, 2021
10 replies
63 views

I haven't worked in NY since I moved to Virginia. Do I need to file new york to get the money back and account the backpayment to Virginia when I file even though it was earned originally when I lived in NY?

TurboTax Premier Online

Critter-3

Level 15

VA will tax all income received from all sources period. So what you will need to do is file a non resident NY return and a resident VA return where they will give you credit for any NY taxes you owe. Complete the returns in that order so the program completes the credit correctly ... NY FIRST then VA.

Hal_Al

Level 15

It might be worth a call to the NY Department of Taxation and Finance to see of you are entitled to a refund (probably not).

It's, most likely, a double whammy. NY probably considers it taxable by NY because it was earned there. VA considers it taxable because it was received while you were a VA resident. But VA will give you a credit, or partial credit, for the net tax you pay to NY. So, there will actually be little or no double taxation. But you will probably pay more state tax because NY has a higher rate.

timk78Author

Level 2

Thanks you both for the great information!

timk78Author

Level 2

when I file for my non-resident new york state taxes, do I need to report only the paycheck/income where new york state taxes were deducted, or do I report all income received in 2021, for even those paychecks where I earn in Virginia, and Virginia deducts state taxes?

DaveF1006

Alumni - Intuit

Yes, all the income that you reported on your federal return will flow to your NY non-resident return and VA return if you are using Turbo Tax. When you prepare your NY return, you will be asked to allocate your NY source income from the other income reported. Once you finish your NY state return, you will be given a credit on your VA return for the taxes paid to NY.

Make sure you prepare your NY non-resident return first to ensure that you are given credit for your taxes paid to NY.

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