I live in NJ and work in VA - where do I pay state taxes?
You have to file state taxes for both NJ and VA. For VA, you'll declare income earned in VA. For NJ, this is your home state so you'll have to declare ALL income including wages, dividends, and interests earned. You should get a tax credit for state taxes paid to VA for your NJ state tax return. You cannot choose to just file one state or allocate the income yourself. BTW, Spock is the only one answers the question right.
If I live in New York State and work in Vermont, do I pay both states' income taxes?
Yes. As a NY resident, you're required to file a NY state tax return, and as someone working in Vermont, "You are required to file a Vermont income tax return if: • You are required to file a Federal income tax return; and • You earned or received $100 or more in Vermont income, or • You earned gross income of $1,000 or more."
I live in New York. I work in Connecticut. Where do I pay state taxes? Both states?
You have to file a tax return in both states. You will receive a credit in NY for the taxes paid to CT (based on your tax return, not the amount that was withheld). The bad news is that NY has a higher tax rate than CT so it is likely that you will owe some money to NY with the tax return. You will also have to pay interest on the amount you owe. Also, if you didn't file for an extension on or before April 15th, then you will owe penalties. I hope this helps. Gary
Live in Washington, work in California. Pay California state income and Washington property taxes?
Do I have to pay both California income taxes and Washington property taxes? That sounds like double taxation. Does that mean someone living in California and works in Washington pays only Federal taxes.
If you work in New York City, will you pay less total taxes by living in NYC or NJ?
If you live in New Jersey but work in New York City you will pay New York Statenon-resident income tax but you will not pay New York City income tax, which would be an extra 2.907 to 3.876% of your income. If you live and work in New York City you will pay both New York State and City income tax. Sales taxes in New York City are 8.875% whereas New Jersey it is 7%. For property taxes it is hard to say because it really depends on where you live but I'd say New York City property taxes are generally higher than most (not all) northern New Jersey municipalities. Gas taxes are higher in New York than New Jersey for sure. For the sake of completeness, if you smoke, you will pay $ 5.85/pack in New York City versus $ 2.70/pack in New Jersey. In fact, a lot of New York City smokers purposely stock up on cigarettes when they are out in the suburbs (in the rest of New York State it is $ 4.35/pack). I don't smoke or care much about cigarette taxes but I thought I'd throw that in because I think you'd have to be out of your mind to buy cigarettes in any of the five boroughs, but a lot of people still do.
If i work in virginia but live in north carolina do i pay state tax to both?
It depends on state law, but the short answer is you pay in the state you are working not the state you live in unless you work there too. You are declared a "foreign" worker and generally have to file special tax returns. If you work in more than one state you have to apportion your income based on the amounts earned in each state and you federal tax return.
Does NY collect tax on my NJ income if I work in both states (2 diff jobs) and live in NJ (I know I need to pay taxes in NJ for an NY job)? H&R Block says yes.
New York does not tax nonresidents on out-of-state income; however, you must file a return that includes all income, but then you are taxed in New York only to the extent of New York sourced income as a percentage of total income.When you file your New Jersey return your tax base will include New York sourced income, but then you receive a credit for New York state taxes paid. It is important to note that the credit may not be the full amount of New York state taxes paid. NJ will limit the credit to the tax as if filed under New Jersey tax rules.The following quote is taken from the New York State Department of Taxation and Finance Instructions for Form IT-203 Nonresident and Part-Year Resident Income Tax Return.If you were a nonresident of New York State, you are subject to New York State tax on income derived from New York State sources.To compute the amount of tax due, use Form IT-203, Nonresident and Part-Year Resident Income Tax Return. You will compute a base tax as if you were a full-year resident, then determine the percentage of your income that is subject to New York State tax and the amount of tax apportioned to New York State.Perhaps the confusion is due to the method of calculating the New York State income tax for non-residents. Although in concept nonresidents are taxed only on New York sourced income, the method of calculating the tax requires including all income, and then computing the New York State tax based on the percentage of New York State sourced income to total income.If you separately reported New York income in New York and New Jersey income in New Jersey, you would effectively benefit from personal deductions, exemptions, and lower bracket rates in both states. By starting with total income and then taking the New York State source percentage of total income, the effect of the property tax brackets, standard deductions, and exemptions is properly taken into account.