My son is a NYC resident working for a firm based in NYC but spent about 3 months working remotely from our home in CT. He billed hours from CT so there is a CT state W-2 with CT withholding. New York State requires that tax is paid on the entire earnings even though he was in CT at the time. I read that CT will credit the taxes withheld in CT but I don't know how to go about filing the CT state taxes, and if there are additional steps to file. Also, as a result, NYS did not withhold enough taxes so there is a significant balance due. Thanks in advance!!
The credit for taxes paid to another state generally applies to the resident state only so your son will want to complete a nonresident Connecticut return first. Then he will apply that credit to his New York return- this should also balance out the NY amount he owes.
The credit for taxes paid to another state generally applies to the resident state only so your son will want to complete a nonresident Connecticut return first. Then he will apply that credit to his New York return- this should also balance out the NY amount he owes.