Hi
I am on H1B and my employer is based in MI. I have been working in NJ since jan,2008.
My total wages are 50,000.

My employer send me my W2 on which 50000 is split in to tow amounts half for NJ and Half for MI.

I am confused is this all right?

I am assuming that either I should get paid in MI or in NJ but I am not really sure where?

On my w2 there is a column just like below.

state employer tax id no state wages and tips
MI xxxxxxxxxxxx 25000
NJ xxxxxxxxxxxx 25000

Considering I am working in NJ and my employer is in MI is this correct?

Can someone please suggest.


Thanks

If you live and work is a state but your employer is from another state, then your income is only subject to the state where you live and work. Read: Your U.S. Tax Return: Working or Living in Two or More states (http://taxipay.blogspot.com/2008/06/working-in-two-or-more-states.html)

Your total income for the year is NJ income and none of it is MI income.

If you live and work is a state but your employer is from another state, then your income is only subject to the state where you live and work. Read: Your U.S. Tax Return: Working or Living in Two or More states (http://taxipay.blogspot.com/2008/06/working-in-two-or-more-states.html)

Your total income for the year is NJ income and none of it is MI income.

Then what should he do to get complete refund of tax withheld for MI?
Your answer will help me as well, as I am also in the similar situation.
Thanks in advance.

Yes, file MI return and ask for complete refund of taxes withheld. Get a letter from your employer that you worked and lived in NJ and did not work in MI. Attach this letter with your tax return. Also attach copy of NJ tax return to show that you have reported all the income to NJ.