Living in PA, working in NY... how are the taxes handled? (credit, income)

[sp2007]

I've been reading about reciprocity but with no clear answer. Seems there is no tax reciprocity between PA and NY.

So if I lived in PA but worked in NY, would have to pay taxes to NY AND PA?

Any help is appreciated.

[karen_s]

I think you'd have better luck getting an answer on the Northeast PA forum. Tons of commuters up there, someone would have to know your answer.

[BPP1999]

Originally Posted by sp2007

I've been reading about reciprocity but with no clear answer. Seems there is no tax reciprocity between PA and NY.

So if I lived in PA but worked in NY, would have to pay taxes to NY AND PA?

Any help is appreciated.

In general you would never have to pay taxes twice, even without reciprocity. If there is reciprocity, you'd have PA taxes w/h on your income earned in NY. Unless you have other NY income you wouldn't have a NY filing requirement.

If there is not reciprocity, you'd have NY taxes w/h on your income earned in NY, and when you filed your PA income tax reutrn PA would give you a credit for the taxes paid to NY. If your NY tax is greater than the PA tax, you would not receive a refund from PA. You would only be allowed a PA credit up to the tax you'd owe in PA on the NY income.