I work and rent an apartment in NJ, but I own a house in NY with my boyfriend. At the beginning of 2006, I was not sure I was staying in NJ so I got a NY drivers license, license plates and registered to vote there. My work has been withholding NJ taxes, as it only has my NJ address.

So I work in NJ on weekdays and rent an apartment here, and I go back to NY on the weekends.

I believe that I do file in both states, but I'm really not sure how to go about that. Also, for 2007, which state should I maintain permanent residency in? Is there an advantage to either one, or do I not have a choice?

Thanks so much in advance, I have no one else to ask about this as I don't know anyone in my situation.

AtlantaTaxExpert

For 2007, since you spend MOST of your time in NJ, you can probaby argue that you are a NJ resident, despite the fact that you co-own the house in NY.

Get a NJ driver's license and register to vote in NJ.

For 2006, you are a NY resident (the Driver's license and voting registration makes that a prima facie case of NY residency.

NY has higher tax rates, so NJ is the way to go.