Multi State: Double taxed income

[nszymano]

Hello,

I work in NY and live in NJ. I am filing a nonresident NY return and a part-year resident NJ return (I moved here for work from Canada part-way through the year).

On my NJ return, I have to enter "double-taxed income while a resident of New Jersey". I see that this number should come from my NYS return and not my W-2. I'm wondering if I should enter (1) New York adjusted gross income OR (2) New York taxable income.

Thank you,

Nicole

[BillM223]

Did you enter your NY return first (enter non-resident, then resident states)? 

I invite you to read the lengthy but helpful answer by DanielV01 here. This should cover most or all of your questions.

[nszymano]

Yes, thank you. I did my NY return first, and then NJ.

Daniel's answer was helpful. I think some of the other answers further down on this thread are incorrect. This is where my confusion came from.

I have a pretty straightforward case - I only work in NY, all my wages are taxed in NY, so the amount from my single W-2 form would be the double taxed amount. I have an adjustment for moving expenses reimbursed by my employer, which leads me to believe the correct entry would be the "New York adjusted gross income" from my NYS return.

NJ's tax guidelines state that the double taxed income  is "income sourced to the other jurisdiction, after any adjustments allowed by the jurisdiction but before deducting personal exemptions and standard or itemized deductions". Found here:

https://www.nj.gov/treasury/taxation/pdf/pubs/tgi-ee/git3w.pdf

There are some answers on the thread you linked where commentators such as MarilynG1 note that "amount taxed by new york" should be entered as double-taxed income.

This is wrong per my reading of NJ's tax guidelines publication. The double-taxed amount should be before deducting personal exemptions and standard or itemized deductions. If you take the line item "amount taxed by new york", this is after itemized deductions.

Thanks for your help. Let me know your thoughts.

[BillM223]

Yo be honest, I have so much respect for DanielV01's answer for multi-state returns, I stopped reading after seeing his two posts. On a quick read, it seemed to me that Marilyn was answering a slightly different question, but I would not worry about it.

Just go through Danial's two posts and see if they work for you...then declare victory!