1099-NEC Reciprocity Tax NJ/PA

[tristate2009]

PA resident. 

Provided contract work as healthcare provider in NJ. Received 1099-NEC from staffing company based in NJ. No federal or state tax withheld. Boxes 4,5,6,7 blank. 

PA has reciprocity tax agreement with NJ. 

In the past, as a PA resident working in NJ, I received W-2 from NJ, and only had PA state income tax withheld throughout the year. 

My question is: for this year, being a PA resident, and earning 1099-NEC from NJ, do I pay state income tax in PA or NJ? How do I make sure TurboTax Premier only includes that income for one state. Do I not list it as income for one state vs other?

[ThomasM125]

You would pay the tax in Pennsylvania since there is a reciprocity agreement with New Jersey. You just enter the income as listed on the 1099-NEC form in the federal section of TurboTax, it will be transferred automatically to your Pennsylvania tax return. You can look at your Pennsylvania income tax summary while working on that tax return in TurboTax to see what income is being reported on it as follows:

1. Click on Tax Tools in the left menu bar
2. Click on Tools
3. Look under Other Helpful links….
4. Choose View Tax Summary