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View Full Version : If you live in New York City and work in Jersey, TaxCut doubles your income


lotsaquestions
Mar 25, 2007, 07:09 PM
I live in NYC and work in Jersey. This year my employer
Gave me several copies of W2's (which, by the way, are not W2-C's): one for federal, whose state information is blank; one for NY, whose state wages approximately match
The federal wages, but not exactly (because, I guess, of 401K issues); and one for NJ, whose state wages exactly match the federal wages.

When entering the info into TaxCut, I listed the copies together as one W2,
And listed each state's wages on the same line as the name of the state,
In the line-15 entry in TaxCut. You guessed it: TaxCut adds the two amounts
Together, approximately doubling my income. Since they're for the same income, there's
No way TaxCut should be adding them together.

My uncle the CPA suggests overriding the numbers on the form. I'd rather not,
And I didn't buy TaxCut so I can fill out the forms myself. Any suggestions?

Thanks a lot!

delite
Mar 26, 2007, 08:16 AM
I live in NYC and work in Jersey. This year my employer
gave me several copies of W2's (which, by the way, are not W2-C's): one for federal, whose state information is blank; one for NY, whose state wages approximately match
the federal wages, but not exactly (because, I guess, of 401K issues); and one for NJ, whose state wages exactly match the federal wages.

When entering the info into TaxCut, I listed the copies together as one W2,
and listed each state's wages on the same line as the name of the state,
in the line-15 entry in TaxCut. You guessed it: TaxCut adds the two amounts
together, approximately doubling my income. Since they're for the same income, there's
no way TaxCut should be adding them together.

My uncle the CPA suggests overriding the numbers on the form. I'd rather not,
and I didn't buy TaxCut so I can fill out the forms myself. Any suggestions?

Thanks a lot!
State wages for New York should equal that of federal wages no wages were earned in NJ. After filing New York, credit for taxes paid to ny should be taken when filing nj. For taxcut, use the w-2 for ny. Wages should not be doubled if correctly filling out one w-2 form.

AtlantaTaxExpert
Mar 29, 2007, 11:57 AM
Fill out TWO separate computer files on Tax Cut.

Name one NY Taxes and put ONLY the NY taxes on the W-2.

Name the other NJ Taxes and put only NJ taxes on the W-2.

Then cut-and-paste the NY taxes on the NJ forms to claim the credit for taxes paid to NY state.

That should produce the results you desire without have to overwite the figures.

Make SURE the federal return on both files reflects the identical financial data, or the results will be invalid.