turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

Resident State Income "Amount we start with for New York" includes my non resident income earned in Massachusetts even after adding Credit for Taxes Paid to Another State

 
Connect with an expert
x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

1 Reply
ToddL
New Member

Resident State Income "Amount we start with for New York" includes my non resident income earned in Massachusetts even after adding Credit for Taxes Paid to Another State

Even if you were a resident of New York for 1 day of the tax year, NY uses your entire AGI to calculate your tax on NY income. 

It isn't, however, as bad as it appears. They calculate what your New York tax would have been if you earned everything in NY, but then prorate that tax based on how much of your income was earned while a NY resident. 

For example, if the calculated NY tax on your entire 2015 income was $10,000 ,but only 30% was earned as a NY resident, your NY tax would be 30% of $10,000 = $3,000.

 Why do they do this? So they can tax your NY income at the highest possible tax rate, based on your entire AGI.

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question
Manage cookies