Taxes for remote employee

[lbel86]

Hello,

I live in Washington state and am considering a job offer from a company in NY. I have a few tax-related questions:

1) Would I be subject to NY state income taxes as a fully remote employee? I’m assuming yes. 

2) I know I would have to file a nonresident form for NY state. Does this benefit me in any way, tax-wise?

3) The company I would be working for is in Manhattan. Would I also be subject to the NYC income tax?

Thanks in advance for your help!

[Hal_Al]

Q,1) Would I be subject to NY state income taxes as a fully remote employee? 

A. 1)  Yes, most likely,  NY (or NJ, DE, PA or NE) tax telecommuters, depending on how your situation meshes with the "convenience of the employer" rule.  For a fuller explanation, see https://ttlc.intuit.com/community/state-taxes/discussion/re-your-employer-has-reported-this-correctl...

Q. 2) I know I would have to file a nonresident form for NY state. Does this benefit me in any way, tax-wise?

A. 2)  Yes. Your NY employer will, almost certainly, withhold NY tax. So, you may get some of it refunded. But "benefit" in irrelevant. You are required to file a state return.

Q. 3) The company I would be working for is in Manhattan. Would I also be subject to the NYC income tax?

A. 3)  No. See https://www1.nyc.gov/site/finance/taxes/personal-income-tax-and-non-resident-employees.page#:~:text=....

[TomD8]

If you are required by your employer to perform your work wholly outside New York, your income is not taxable by New York.  See page 7 of this web reference:

https://www.hodgsonruss.com/media/publication/915_Nonresident%20Allocation%20Guidelines%202013.pdf

This is known as the "convenience of the employer" doctrine.