I live in NJ, but work in NY. I finished my New York filing, and have reached the "Taxable State Wages" part for New Jersey, where it says 'Check "Remove These Wages" for each state wage line that is a duplicate. Typically, New Jersey wages should be higher than federal wages because New Jersey does not allow the same federal deductions.' Based on what I see in other answers, I should remove the New York line, but the amounts for both are different, so they are not duplicate. Do I still remove it?
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Yes, you should remove the New York line in the New Jersey "Taxable State Wages" section. This is to determine the correct amount of income to tax, so if you do not remove the New York income line you will pay on double your income. If you remove the New Jersey line, you will not be reporting the correct New Jersey taxable income.
As a New Jersey resident working in New York, New Jersey taxes all your income, but you receive a credit for taxes paid to New York. The differing amounts are typical due to different state tax rules.
Yes, you should remove the New York line in the New Jersey "Taxable State Wages" section. This is to determine the correct amount of income to tax, so if you do not remove the New York income line you will pay on double your income. If you remove the New Jersey line, you will not be reporting the correct New Jersey taxable income.
As a New Jersey resident working in New York, New Jersey taxes all your income, but you receive a credit for taxes paid to New York. The differing amounts are typical due to different state tax rules.
Perfect, thank you.
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