Multi State: Is CA Paid Family Leave taxable in New York state (or New Jersey where I live)? i need to file in 3 states but unclear on how the states treat this income.

[lostintaxes29]

I lived in CA from Jan-Nov, and was on paid family leave from June-Nov . In Dec, I moved to NJ and started work in NY.

When I file NY non-resident taxes, not only are my working days fewer (because of the long leave), but it feels like I am also paying taxes on CA PFL.

How do I address this?

[MaryK4]

The New Jersey taxable income of a part year individual is calculated as if all income were earned in New Jersey.  The Federal Adjusted Gross Income (AGI) will be adjusted using the New Jersey adjustments to arrive at AGI from all sources. The AGI from all sources is used to determine the taxable income. After the taxable income is calculated, it is prorated using a percentage of the AGI from New Jersey sources divided by the AGI from all sources. This prorated tax is the New Jersey tax.  The same calculation applies to the New York resident return.

[lostintaxes29]

@MaryK4 thank you! Is my understanding correct that when using TurboTax, all of this is taken care of?

I put in my AGi for federal first, and then provided dates of move for the state returns.

Maybe I’m wrong but it feels like TurboTax is not accounting for all of the nuances you stated. (As i feel New York non-resident tax is still high for the 2 months I’ve lived there)