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nsanhorn
New Member

What should I do if there was issues with taxes and received incorrect taxation?

Lived in NY state for one month, but was charged taxes on full years compensation. Was charged full amount by NY state, but should not owe that. What do I do?
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1 Reply
maglib
Level 10

What should I do if there was issues with taxes and received incorrect taxation?

@nsanhorn    you have to do your part year or nonresident state return first.  NY starts with full Federal income and you then go through the interview to allocate income to/from NY utilizing days lived in NY.  NY uses the tax rate as if all your income was earned there but, then taxes you at that rate on only the NY Source income.

 

Did you continue to work for a NY company and have NY Sourced income? NY taxes all w-2 income earned for a NY company.

 

After you complete the part year resident return, and any non-resident returns, only then would you do your Part Year resident return for the state you lived in the longest.  If you had NY Source income during that period of time, most states will give you a credit for double taxed income (not for the period of time you lived in NY though and vice-versa).

 

So you need to go through the interview to allocate income out of NY.

 

Let me know if you have further questions.

**I don't work for TT. Just trying to help. All the best.
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