View Full Version : Live in PA but I work in NJ
I live in PA but I work in NJ. The company I work for is taking out PA State income tax and they are taking out the following NJ taxes: NJ Unempl EE; NJ OASDI/EE; NJ FLI/EE; NJ SW/AF; NJ WDPF. The NJ OASDI/EE appears on my W-2 as NJSDI. Three others are lumped together as UI/WF/SWF. I have two questions. First, should they be taking out both PA and NJ taxes? Second, can I claim all of these "income taxes" when I do my Itemized Deductions on Sch. A?
MukatA
Feb 7, 2010, 04:36 AM
Income earned while in NJ is to be reported to NJ. You may be paying tax to NJ.
On your PA tax return, you will report your worldwide income including NJ income. Also claim credit for tax paid to NJ. You will have a refund. 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)
Question - out of all of the NJ taxes I listed in my original question, which of these can I take as itemized deductions on my Federal Tax Return?
Thank you for your help!
EwF
ebaines
Feb 8, 2010, 07:19 AM
EwF - because of the tax agreement between PA an NJ, your NJ-based employer is witholding PA income tax, so you do NOT need to file an NJ non-resident tax form. Mukata is apparently unaware of this.
As for the various NJ employment taxes - unemployment insurance (SUI), disability insurance (SDI), etc - these are deductible on your federal return.