Double State income tax on the same personal income

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seek_info70

Mar 17, 2008, 08:47 AM

Hi,
I have a query:
I am planning to live in NJ but work in NY with a company incorporated in NJ.

1. What state taxes will I pay?
2. I have heard that both states will deduct personal income tax
3. Do I have to tell my employer something in advance to help reduce double taxation.

ebaines

Mar 17, 2008, 08:54 AM

There's no reson for your company to withhold NJ tax, since you will be working in NY and hence will owe NY non-resident tax on your wages. The NY tax rates are higher than NJ, so it is doubtful that you will owe NJ anything. I suggest you talk to your employer and verify that they will deduct NY tax, and not NJ.