Submitted by InternetMedium4325 t3_y1ql25 in jerseycity
JerseyCityGeordie t1_is0obmt wrote
Just because you are remote and live in NJ doesn’t mean you won’t pay NYC tax. You still have to be affiliated with an office for tax purposes so if your company doesn’t have an NJ office you will still be aligned with your NYC office and have to pay NYC taxes (and NJ taxes).
I work for a staffing company and have to explain this to hundreds of dumb IT workers who work remotely in Arkansas or Texas but are affiliated with the NYC office. They pay both taxes too.
Either way, don’t come to Jersey City, it’s the most expensive city in the US so if you can’t afford NYC, you can’t afford here either.
Vertigo963 t1_is0yin9 wrote
This is just incorrect.
JerseyCityGeordie t1_is1duue wrote
Except it isn’t. I deal with this every single day in my job. You probably don’t even have a job.
Vertigo963 t1_is1v5he wrote
Whether I have a job or not, it's still the case that the NYC income tax applies only to residents of NYC. To the extent you have been advising your employer or your colleagues to the contrary, I'd urge you to retract that advice.
JerseyCityGeordie t1_isb8ciu wrote
This is wrong. I literally work for the largest staffing company in the world and we handle payroll for over a million people in the US. We have been dealing with this since the start of CoVid. Vertigo either has vertigo or is just a complete idiot, and I am assuming it’s the 2nd one.
Vertigo963 t1_isbd292 wrote
In addition to being rude and hostile, you've been pretty vague in your statements so far. Are you saying that persons who are not residents of New York City are nonetheless subject to New York City income tax? If so, when? Thanks.
JerseyCityGeordie t1_isbjzkw wrote
Please go read my other replies on this thread. I don’t have time to keep repeating myself.
Vertigo963 t1_isbqre8 wrote
OK. Everyone reading this (including all of us who moved to Jersey City to avoid the NYC income tax) can judge whether to believe (1) your statement that "if your company doesn’t have an NJ office you will still be aligned with your NYC office and have to pay NYC taxes" or (2) the website of the New York State Department of Taxation and Finance, which states "Nonresidents of New York City are not liable for New York City personal income tax" (https://www.tax.ny.gov/pit/file/nonresident-faqs.htm).
By the way, give a thought to whether the attitude you've displayed in this interaction is the one you want people to have generally online. I've tried to be polite and haven't downvoted you at all and you've just been consistently insulting and unwilling to discuss. In your defense, I blame Reddit quite a bit, as this format and the up/down arrows make real discussions difficult.
a_teletubby t1_is34abz wrote
I have to assume you're trolling?
InternetMedium4325 OP t1_is2i9u6 wrote
Yeah I am not understanding why somebody who lives in a different state and who’s job is not connected to NY would be still responsible for paying the city tax. I am far from an expert on this however. Can you please explain why this would be the case?
JerseyCityGeordie t1_isb80s5 wrote
Companies are given huge tax breaks to open up offices in certain states and cities with the expectations that those employees for the offices will pay taxes and spend their money in the state or the city. Companies are unwilling to give up those tax breaks but need to hire people at lower costs, so they hire someone in Texas, payroll them through an NYC office so the company can keep the tax break.
Anyone saying that I am wrong has no idea how this works. I have been dealing with this every day since CoVid started and people started moving out of cities.
InternetMedium4325 OP t1_isfusch wrote
Yeah I get this but I assume those people have relocated to other states and kept their NY job but work remote. I don’t have a NY job. The company does not operate out of the state and has physical headquarters in VA. So if I moved to say California, are you saying that I would be paying NYC city tax for the rest of my life because I used to live there?
bacaneria t1_is2set4 wrote
This person incorrect, proceed.
zero_cool_protege t1_is2tw28 wrote
You have to file both, not pay both:
"In short, you’ll have to file your taxes in both states if you live in NJ and work in NY. Like most US States, both New York and New Jersey require that you pay State income taxes. Some states have reciprocal tax agreements, allowing you only to pay taxes in your home state. New Jersey has a reciprocal tax agreement with Pennsylvania, but they do not have one with New York. Because of this, since you live in a different state from the one that you work in, you need to make sure you file a tax return in both.
In New York, you will need to file a non-resident return (IT-203). While in New Jersey, you will need to file as a resident (NJ-1040). But if you’re filing two returns, that begs the question: do you pay double taxes if you live in NJ and work in NY?
Great news for you, no! You do not have to pay double taxes. However, if you want to avoid paying more than you owe, it is vital that you file your New York return first so that when you file in New Jersey, you will receive a tax credit for any taxes you already paid. This will prevent you from being taxed on the same income by both States."
Vertigo963 t1_is3ccnq wrote
You're correct that a worker residing in NJ but working in NY State needs to file both NJ and NY State income tax returns. But the person you are responding to stated that such a worker needs to file and pay NY City income taxes, which is incorrect. In addition, you're not entirely correct when you say that this worker won't have to "pay both" - it's common that such a worker may owe money to both states, either because the worker has some NJ-only income (e.g., checking account interest) or because the NJ tax credit and the tax systems of the two states don't line up exactly right.
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