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amateurtaxguy · Feb 24, 2009, 09:59 AM

Hey all,

I have worked for 2 employers this year with the same situation, living in NJ and working in NYC. My first employer gave me the correct W-2 (showing NJ and NY), however my 2nd employer had taken only NY taxes out. I know I have to file an NJ and NY return since my first employer reported it, but how would I deal with my incorrect W-2 from my 2nd employer?

1. Would I need a corrected W-2 from my 2nd employer?
2. Could somebody please help me or show me exactly what to do? I tried TurboTax but that did not help at all.

I really need help and do not have the money to pay for an accountant. :confused:

Thanks in advance

ebaines · Feb 24, 2009, 10:07 AM

Are you sure the W-2 is in error? If that second employer only withheld NY State tax from your pay check then the W-2 is "correct" in that it reflects what taxes were actually withhled and paid to which state. Check your pay stubs - they should confirm to which state taxes were paid by this employer. If in fact the W-2 is wrong (it doesn't agree woith your pay stubs) then talk to your employer about issuing a corrected W-2. Otherwise, just proceed as normal - you may find that you wilkl get a bit of a refund from NY and may owe NJ some, but it shouldn't be too bad.

As for tax forms - you complete the NY State non-resident form first (IT-203) and then after that the NJ tax form (NJ-1040). TurboTax ought to be able to handle all this with ease, although you will need the state atx modules for both NY and NJ. Just be sure to enter your W2 info exatly as it appears on your W-2's.

amateurtaxguy · Feb 24, 2009, 10:23 AM

If I file the NY state tax return first, showing the tax taken out by both employers and then file the NJ tax return showing the 1st employer only, what would happen? How do I show New Jersey that my 2nd employer didn't report it?

ebaines · Feb 24, 2009, 10:29 AM

Originally Posted by amateurtaxguy

If I file the NY state tax return first, showing the tax taken out by both employers and then file the NJ tax return showing the 1st employer only, what would happen? How do I show New Jersey that my 2nd employer didn't report it?

You will report all your income to NJ - from both employers as well as any other sources of income you may have (interest, dividends, capital gains, etc). In the section where you report state income tax withheld you will only enter the amount from that first employer. Attach copies of both W-2's to the tax return.

amateurtaxguy · Feb 24, 2009, 10:32 AM

Thank you so much, this clears it up!

amateurtaxguy · Feb 24, 2009, 10:42 AM

Sorry to be a pain, but I'm really really new at this.

Am I to assume that NY state will give me a bigger refund and I will end up owing NJ? And the different should equal out?

ebaines · Feb 24, 2009, 10:51 AM

Originally Posted by amateurtaxguy

Am I to assume that NY state will give me a bigger refund and I will end up owing NJ? And the different should equal out?

It's impossible to say, until you go through the math. But I would expect that you will probably find you owe very little to NJ, since for most people the tax rate in NY is higher than the tax rate for NJ, plus on your NJ taxes you probably get to take credits that are not available to you for NY.