tax question, living in nj working in ny (credit, income)

[soni2926]

hi,
I'm currently working for the city of ny, but live in nj, on my pay stub there is a deduction for NEW YORK CITY TAX WAIVER , just wondering if anyone know what that is?

[O-er in WO]

Inquire with your payroll department, if these are NYC taxes then these should't be withheld as you are not an NYC resident. Hope this helps.

[thesnowapefamily]

I used to work in NYC and live in NJ. I had the deduction taken out of my paycheck, but would file state taxes in both NJ and NY. My NY return would always include what had been taken out. Hope this helps!

[soni2926]

great thanks for the info! I did get a letter from them to fill out an extra tax form, guessing that's what it's for, will see, hopefully get it back in my return.

thanks again.

[Irish Eyes]

Just make sure they are not taking out city tax. You do have to pay NY state tax but they should not be taking out city.

[soni2926]

Originally Posted by Irish Eyes

Just make sure they are not taking out city tax. You do have to pay NY state tax but they should not be taking out city.

Not sure if this the same thing as the City tax you mentioned, saw this on the NYC.gov Personal Income Tax page:

Personal Income Tax
New York City charges a personal income tax to City residents. The tax is administered and collected for the City by the New York State Department of Taxation and Finance. A resident uses the same filing status and taxable income as for State purposes, but applies different tax rates and credits.


Who must pay this Tax?
Every income-earning individual, estate and trust who resides in New York City must pay personal income tax. Part-year residents figure their tax based on income and deductions based only on the days lived in NYC.

Most people living outside the City are not subject to NYC personal income tax. However, non-residents who are employees of the City of New York must file Form 1127 and pay taxes each year. The amount is equal to the personal income tax they would owe if they were City residents.

So i that looks like me, as i'm living in nj but working for the city of ny right now, hopefully i'll get it all back!

[O-er in WO]

Hmm... doubt that you will get it back, as you are taxed as if you were an NYC resident if you are employed by the city. I may be wrong though.

[smuggy_mba]

so, if you work in NYC and live in NJ - u have to pay state taxes for both states and NYC resident tax?

[O-er in WO]

Originally Posted by smuggy_mba

so, if you work in NYC and live in NJ - u have to pay state taxes for both states and NYC resident tax?

You don't pay both states taxes. When you file NJ tax returns, you receive credit for taxes paid to NY state. You also don't pay NYC taxes unless you work for NYC gov (not 100% sure if the city sags you for being its employee despite non-residency status).

[Irish Eyes]

Originally Posted by soni2926

Not sure if this the same thing as the City tax you mentioned, saw this on the NYC.gov Personal Income Tax page:

Personal Income Tax
New York City charges a personal income tax to City residents. The tax is administered and collected for the City by the New York State Department of Taxation and Finance. A resident uses the same filing status and taxable income as for State purposes, but applies different tax rates and credits.


Who must pay this Tax?
Every income-earning individual, estate and trust who resides in New York City must pay personal income tax. Part-year residents figure their tax based on income and deductions based only on the days lived in NYC.

Most people living outside the City are not subject to NYC personal income tax. However, non-residents who are employees of the City of New York must file Form 1127 and pay taxes each year. The amount is equal to the personal income tax they would owe if they were City residents.

So i that looks like me, as i'm living in nj but working for the city of ny right now, hopefully i'll get it all back!

Sorry about that. I didn't realize you worked for the city.