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MikeL54
New Member

Do I have to pay income taxes in my work state and my home state? I work in PA but live in NY. I have w-2s for both and the wage amounts are virtually the same.

 
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ChristinaS
New Member

Do I have to pay income taxes in my work state and my home state? I work in PA but live in NY. I have w-2s for both and the wage amounts are virtually the same.

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You declare the income on both returns. On your NY return, you get a credit for some (or all) of the taxes you paid to PA. This mitigates double-taxation. If your NY tax rate is higher than your PA rate, you may owe a little extra on your NY return after receiving the Credit for Taxes Paid to Another State. This credit will be prominent in your NY return interview.

Work on your PA return first, so the amount you pay in taxes on that return can flow to the NY resident return. The tax you pay to PA may be close to what's on your W2. If you have a refund from PA, the tax you paid is the withholding less that refund. 

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ChristinaS
New Member

Do I have to pay income taxes in my work state and my home state? I work in PA but live in NY. I have w-2s for both and the wage amounts are virtually the same.

Sort of.

You declare the income on both returns. On your NY return, you get a credit for some (or all) of the taxes you paid to PA. This mitigates double-taxation. If your NY tax rate is higher than your PA rate, you may owe a little extra on your NY return after receiving the Credit for Taxes Paid to Another State. This credit will be prominent in your NY return interview.

Work on your PA return first, so the amount you pay in taxes on that return can flow to the NY resident return. The tax you pay to PA may be close to what's on your W2. If you have a refund from PA, the tax you paid is the withholding less that refund. 

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