Error in TT? New York Form IT-360.1 Change of City Resident Status

[Greenmike]

The New York State Department of Taxation and Finance instructions for Form IT-360.1, line 1, column B - "Amount of Column A for New York City Resident Period" clearly state:  "Enter in Column B that part of the income included in Column A that your received from all sources while you were a New York City resident."  (Emphasis added).

TT takes the entire amount for the entire year designated from New York City source wages  (see Data Source information below).  This appears to be incorrect and could lead to significant overpayment if not detected by the user.  The source for this amount should be an input from the user in response to a question:  There is no other way TT could know or calculate this number from current inputs.

IT-360.1 TP : Line 1b
From the New York City/Yonkers Wages and Self-Employment Income Allocation Worksheet, the sum of those wages designated as New York City source wages. This amount will be the taxpayer's total only, if separate Forms IT-360.1 are required, otherwise this will be the sum of both the taxpayer's and spouse's wages

[Greenmike]

I now see that the instructions for the allocation worksheet read as below.  Unless TT expects readers to plow through the instructions for each and every line item, this is a problem that should be fixed by adding a question to anyone completing a part-year return.  Also, I don't think Option 1 mechanically works - it did not for me.  Almost everyone with a part-year return will have income from one source that was earned while a resident, so this really should be considered.

B. If part of the income was earned while a resident of New York City, make the following entries:

Option 1:
- Enter "NYC" in the "City Code" column
- Enter the percentage of the income to be allocated to your New York City resident period in the "%" column

Option 2:
- Enter "NYC" in the "City Code" column
- Enter 100% in the "%" column or leave that column blank
- Change the amount transferred from the federal return in the "City Wages"/"City Self-Employment Income" to the amount earned while a resident of New York City