NJ resident who works full-time in NY. My credit from tax was adjusted after submitting NJ state tax?

[lyndahuang74]

Hello,

I was using Turbox desktop version to file my tax, however got an adjustment after filing the state tax to NJ.

The adjustment is on "Credits from Tax" which was adjusted to lower amount, so now I owed the state some tax..

I wonder if this is something to do with my NJ-COJ not correctly filed.  My W2's box 16 (state wages) for NY and NJ are not the same - the box 16 in NY is more than that for NJ.  Then NJ-COJ, it used the actual tax amount paid to NY (same to the NY tax filing) in box 9a and got a tax credit. However, it seems the state office didn't agree with this amount and they put it lower.

My question is: did I do anything wrong? or shall I adjust proportionally for the NY actual tax lower since the NJ taxable amount is lower than NY?

[fanfare · Accepted solution]

Enter for a credit on NJ-COJ the smaller of -

• your NY tax
• your NJ tax

there's no reason to adjust your NY tax return if it was true and complete

@lyndahuang74 

[TomD8]

The credit for NY cannot exceed the taxes owed to NJ on the income taxed by both states.