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Level 1
posted Jan 31, 2022 2:40:11 PM

I worked part-year for a Texas company and NY company in 2021 but live full-time in Texas. Why is New York taxing my income earned in Texas if I'm a non-resident?

When I entered the W-2 for the NY company in TT, it showed a state refund. But when I added the Texas W-2, it showed I owed NY state tax. How did it go from green to red by adding non-NY income?

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1 Replies
Expert Alumni
Jan 31, 2022 3:02:47 PM

You will have to adjust your New York income in the state section.  If you did not work in New York at all in 2021, you will report ZERO NY wages and get a refund of the New York withholdings.  TurboTax uses the NY wages reported on your W2 with the entry in the federal section.  Because New York uses your total income to get the New York state tax RATE, adding the second W2 jumped your income over the threshold.  (The refund meters are running totals and do not finalize until all entries are made so it can go up and down several times while you are entering data).)

 

If you make this adjustment and do not see the change, post again and we can follow up.