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Returning Member
posted Feb 14, 2020 7:30:56 PM

Out of State Tax for Lawsuit Compensation

I received a W-2 and 1099-MISC for a class-action lawsuit that was finalized and paid out in 2019 on behalf of a former employer.  I left this job back in 2012, however had worked in New York State for this employer.  I relocated out of New York at the end of 2012 and haven't filed a NYS tax return since then.  However, since I worked for the company in NY, the consulting firm that handled the lawsuit paid tax to NY on my behalf.  

Do I have to file a separate return with NY for this tax?  It's such a small amount of tax that was paid ($81) so I really don't want to have to pay for an additional Turbo Tax state program solely for this income.  Additionally, if I do have to file with NY and paper file, do I list my entire income on the "federal" line of the return, or only the amount of income that this W-2 reflects? 

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1 Replies
Expert Alumni
Feb 15, 2020 6:09:25 AM

New York requires nonresidents to file a nonresident tax return if your Federal income after New York adjustments (in total, not just the New York income portion) exceeds $8,000 for a single person or $16,050 for a married person filing jointly. 

 

See this New York State website for more information about filing a nonresident tax return.