[derajfast]

I commuted from NJ to my job in NYC for the past 3 months, and am now renting an apartment in NYC. My parents still live in NJ, but not longer claim me as a dependent. As far as tax implications go for filing between NYC and NJ, would it be fair to use my parent's residence as my primary one as well, as I am renting and not buying?

Also, what would tax difference be between filing in the two different states?

Thanks

[AtlantaTaxExpert]

During the period when you lived in NJ and worked in NYC, you were liable for BOTH NY and NJ state income taxes, but, due to a credit given by NJ for taxes paid to NY, you will probably owe ZERO taxes to NJ (though a NJ state tax return MUST be filed in any event). During this period, you were NOT liable for NY CITY income taxes.

Once you moved into the NYC apartment, you became a part-year NYC resident and, at that time, became liable for NYC income taxes. The fact that you are rent ing and not buying is irrelevant in determining your residency status.

For 2009, you will file NY and NY state tax returns, plus pay as a part-year resident for NY CITY taxes. For 2010 and beyond, no NJ return is required as long as you remain in NYC.