I live & own a home in NJ. I work in NY. When completing NY state tax return, do I deduct mortgage interest paid on my NJ home? What about property tax paid on the home?

[DanielV01]

Yes you can claim these on your NY return.  NY allows for itemized deductions and will allow you to claim these on your NY return just like you could have claimed them on your Federal return.

[taxedinnj]

Thanks for the prompt response. Just to 100% clarify--I can claim these deductions in the NEW YORK state return even though the home I own and pay mortgage interest/property tax on is in NEW JERSEY?

[DanielV01]

Yes, because New York honors itemized decductions for home mortgage interest and real estate tax no matter where you live.

[chintan1124]

hey i wanted to clarify i showed that i paid this interest and tax on my nj tax form as well so i can also decution from new york? and this is still valid this year.

[leokan1991]

only if you earn less than 18000? 

[JosephS1]

No, there is no income limitation on taking the New York Standard deduction but there is a limitation on itemizing deductions if your Line 19 income is over $174,500. This limitation applies whether you are a state resident or non-resident.  New York has decoupled from the Federal rules in limiting State and Local Taxes and Home Mortgage interest calculations.  The links below should assist in determining how to enter your deductions and on what forms they will eventually flow to:

New York Standard Deduction

New York Itemized Deductions

As the New York itemized deduction link shows, all deductions flow to Form IT-196, and then will flow to Forms IT-201, or IT-203, depending on residency status.

Once you have determined your allowable deduction, you will enter the amount from Form IT-196 to the appropriate line on either IT-201 for residents or IT-203 for non-residents.

@leokan1991