Ask Me Help Desk

Ask Me Help Desk (https://www.askmehelpdesk.com/forum.php)
-   Taxes (https://www.askmehelpdesk.com/forumdisplay.php?f=320)
-   -   Tax Advantage to Living In New Jersey & Working in Manhattan (https://www.askmehelpdesk.com/showthread.php?t=357007)

  • May 23, 2009, 07:39 AM
    cscoamat
    Tax Advantage to Living In New Jersey & Working in Manhattan
    I was wondering what are the tax advantages to living in New Jersey and working in Manhattan. In particular:

    (1) Is it true that by living in NJ and working in Manhattan, one does not have to pay New York city tax? Nor pay Yonkers taxes? So that the only non-federal tax for such a person would effectively be New York state tax?

    (2) Is it also the case that by living in New Jersey and working in Manhattan, one is not effectively subjected to ANY New Jersey state taxes?

    Thanks.
  • May 23, 2009, 11:15 PM
    MukatA

    If you live in NJ and work in NY, you must report the income on NY state tax return. You will not pay city tax.

    You will also report the same income on NJ tax return. On NJ tax return, you will claim credit for the taxes paid to NY.
    Read: Your U.S. Tax Return: Working or Living in Two or More states
  • May 24, 2009, 08:25 AM
    AtlantaTaxExpert
    Both of your questions are true.

    On #2, you probably will NOT pay any NJ tax if all of your income is NY-sourced. However, you DO have to file a NJ tax return.

  • All times are GMT -7. The time now is 02:51 AM.