1099 MISC vacation pay?

TPergu60 · ‎March 5, 2025

I live in NJ and I received a 1099 MISC from my employer from NY for vacation pay, which state do I pay taxes to on this money? 😕

Vanessa A · ‎March 5, 2025

NY and NJ but you will get a credit for taxes paid to NY on your NJ return. Since you work in NY this is NY sourced income.

However, this income should not be reported on a 1099, vacation pay is considered employee wages and should be included on your W-2. You will need to ask your employer to make the correction so that the income is properly included as employee wages.

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