Office Transfer from NJ to NY

[demero]

I live in NJ, and my office location (same employer) moved in June from NJ to NY.  How do you calculate the split of income that should be taxable in NJ versus NY State? 

[TomD8]

Since you're an NJ resident, ALL your income is taxable by NJ, regardless of where you earn it.

In addition, NY can tax you as a non-resident on the income you earn by working in NY.

So if you live in NJ and work in NY, you'll have to file two state tax returns: a non-resident NY return and your normal home state NJ return.

You'll be able to claim a credit on your NJ return for the taxes paid to NY, so you won't be double-taxed.

TurboTax can handle this common situation.

[demero]

Thanks for the answer!  To account for the mid-year transfer from NJ to NY, in TurboTax NY State I need to enter info as the the # days worked in NY versus Out of State?  That way it will use the right amount of NY State source income?  I haven’t had to do that in previous years when I worked in NY or NJ for the full year.

[ZoltanB45]

You did not have to allocate when you worked in either New York or New Jersey for the full year, because the W-2 income for that job was 100% in that state. Now you are receiving  a W-2 with total income in box 1 and perhaps withholding from both New York and New Jersey listed on the form. By allocating the days, you will be able to tell how much of the total income in that W-2 should be New York wages and New Jersey wages. Then you will tell if appropriate withholding was taken from each state.