Work in NJ Live in FL

[bigjuicyturkeyleg]

I recently visited family in New Jersey; however, I still have my Florida residence. I work remotely. I have been trying to research myself the tax implications but it's very confusing. Can someone explain am... I supposed to be getting double taxed?

[Anonymous]

Hello bugjuicyturkeyleg,

Thank you for participating in this Ask the Experts event. As to your question, based on your comment it sounds like you are keeping Florida as your residence. If so, in order to have to pay NJ taxes you need to maintain a permanent home there and physically be there for 183 days or more. Because you were just visiting family and keeping your FL residence, it doesn't sound like you maintain a permanent residence  in NJ even if you were there more than half the year.

Additionally, you would only need to file a nonresident return if you had NJ taxes withheld from your paycheck or had NJ sourced income. It is unclear from your post where your income is generated from--NJ or Florida or somewhere else?

Either way, you will not be double-taxed because (1) Florida doesn't have an income tax, and (2) if they did you would most likely be able to take a credit for any taxes you may have to pay to NJ if your income comes from there.

I hope that helps.

[bigjuicyturkeyleg]

Hi there!

thank you for your answer. To explain a bit further, my company is in california, i work remotely from wherever I am. According to my paycheck, it seems like i go by florida taxes at the moment. I hope that helps, and I appreciate your answers!

[rjs]

You have to pay New Jersey tax on the income that you earn while you are working in New Jersey. It doesn't matter where your employer is located or where your permanent home is. You have to file a New Jersey nonresident tax return and pay NJ tax on the income that you earned while you worked in NJ.

It also doesn't matter that your paycheck does not identify it as NJ income, although it should. Ideally your employer would withhold NJ tax while you are working in NJ. (Obviously you have to tell them where you are working.) If they do not withhold NJ tax, you should make NJ estimated tax payments to avoid owing a large amount when you file your tax return, plus penalties for not having paid during the year.

There is no double taxation, since Florida has no personal income tax. You pay tax only to New Jersey. And of course, since there is no Florida tax return, you do not get credit from Florida for the tax that you pay to New Jersey.

[bigjuicyturkeyleg]

thank you, this sounds like what I have found researching just explained much better. thank you!