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Returning Member
posted Apr 15, 2023 12:03:03 PM

Double taxed income for New Jersey

I lived from Jan-June in Florida and received income from Florida employer A. Then from July to December, I lived in NJ and worked for a New York employer B.

The new york state return shows the following summary (see picture below).  In this case. what are the "double-taxed income" I should enter when I prepare my NJ state tax return? My understanding is "Amount taxed by new york" here is my total income (FL source and NY source) so are not the double-taxed income between NJ and NY. Should I use the "Amount taxed by new york" multiple by the "New York income factor" to calculate the the actual double-taxed income? 

 

 

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5 Replies
Employee Tax Expert
Apr 15, 2023 12:17:52 PM

The only income that was double-taxed should be the income you earned in New Jersey.  Since you were a part-year Florida resident with Florida income, that is not taxed by Florida, New Jersey or New York.

Returning Member
Apr 15, 2023 12:24:38 PM

Hi, thank you for your reply. I understand that the "double-taxed income" amount should directly come from my New york return. I'm confused on how to get that number from the summary below (see picture below).  I'm thinking of the following ways:

1. Amount taxed by New York 77,688 (apparently this is wrong because it includes my Florida income)

2. Amount taxed by New York 77,688 * New York Income Factor 0.6207

3. Amount we start with for New York 85,688 * New York Income Factor 0.6207 - Standard deduction 8000

4. My W2 NY Income (that's the income I earned when I'm a NJ resident)

Which of the 4 appoaches need to be used or is there another way to calculate this? Thank you!

Employee Tax Expert
Apr 15, 2023 12:47:12 PM

New York STARTS with your total income to compute the tax, then applies the New York income factor (which essentially is the New York income) to prorate the amount of tax due.  In your case, this is the correct amount.  

Returning Member
Apr 15, 2023 12:52:44 PM

I guess "New York income factor" is calculated using my NY income from W-2 divided by my total income from W-2. Do you mean the New York income used to calculate the New York income factor should be the one I used  for "double-taxed income"? 

Level 15
Apr 15, 2023 12:58:31 PM

Line 9a of your NJ-COJ should show the total income tax paid to NY; $2,689 from the figures in your post.