How Come No State Taxes Are Being Withheld?

[daniel1357]

Good morning! I live in NJ and recently started a job across the bridge in Philly. I got my first check yesterday via ADP (payroll company) direct deposit. (See screenshot). 

In the NJ and PA statutory deductions, nothing is being deducted for NJ or PA state income. Should something be deducted for that? And is this a problem I should worry about? I was under the impression that, because I lived in NJ but worked in PA, I would pay NJ state taxes and also the Philadelphia Wage Tax (which was taken), and that I would be able to claim the Philadelphia Wage Tax in my NJ state tax return. What do I need to do to correct this issue (if it is an issue)? Thanks! 

[TomD8]

You are correct as to how your withholding should work.

If you haven't already done so, submit PA Form REV-419 to your employer.  Here's a link to that form:

https://www.revenue.pa.gov/FormsandPublications/FormsforBusinesses/EmployerWithholding/Documents/rev...

The form certifies that you are a resident of NJ and therefore not subject to PA state withholding.  

Contact your payroll company if the error persists.

If your employer cannot or will not withhold NJ taxes for you, you should begin making quarterly estimated tax payments to NJ.  This link gives all the info on that:

https://www.state.nj.us/treasury/taxation/njit20.shtml

[daniel1357]

Thank you for your response. I will look into this and contact my employer tomorrow.