NJ unemployment

SJT2020 · ‎February 2, 2022

I live in Pennsylvania and worked in NJ. I was unemployed last year and collected unemployment in NJ in 2020 and 2021

I was called back in early 2021 to work in PA but only for a short time and continued to collect unemployment in NJ following this. I've filed my federal returns and am paying taxes on the unemployment received.

Should I file PA and/or NJ state tax? Am I taxed on Unemployment compensation in either state?

LenaH · ‎February 2, 2022

No. Unemployment compensation is not taxable for state purposes in the state of Pennsylvania or New Jersey. Since you did not live or work in New Jersey, you do not have to file a nonresident return for NJ. Since you did work in Pennsylvania and lived in the state, you will have to file a resident return for PA.

Is unemployment compensation taxable? - PA

Division of Unemployment Insurance - NJ

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