Living in Westchester County, New York State. I work in Danbury, Ct. I am doing my taxes now (I know I am late) and I am not sure if I have to file in both states or just one or the other. Any advice would be greatly appreciated. Thanks, everyone for the great advice!! -Natalie
United States - 6 Answers
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1 :
Hire a tax professional for this, since you do not know what you are doing. Screwing this up will make your life miserable for YEARS.
2 :
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
3 :
if you use a tax program such as turbo tax (or any other) and answer the questions it ask you you will not have any problems......... if the tax program you use does not address the issue use each states income tax help topics New York: http://tax.custhelp.com/cgi-bin/tax.cfg/php/enduser/std_alp.php?p_sid=YJ53q63k&p_lva=&p_li=&p_accessibility=0&p_redirect=&p_page=1&p_cv=&p_pv=&p_prods=&p_cats=0&p_hidden_prods=&cat_lvl1=0&p_search_text=work+out+of+state&srch_btn_submit=%C2%A0%C2%A0%C2%A0Search%C2%A0%C2%A0%C2%A0&p_new_search=1 Connecticut: http://askdrs.ct.gov/Scripts/drsrightnow.cfg/php.exe/enduser/std_alp.php?p_sid=Nq2-q63k&p_lva=&p_li=&p_accessibility=0&p_redirect=&p_page=1&p_cv=&p_pv=&p_prods=&p_cats=&p_hidden_prods=&p_search_text=live+out+of+state&srch_btn_submit=%C2%A0%C2%A0%C2%A0Search%C2%A0%C2%A0%C2%A0&p_new_search=1&p_search_type=answers.search_nl you will have to file in each state, and each state has a form just for this issue.......
4 :
You will first fill out a Connecticut Non-Resident Return. Then when it's done, you will fill out a New York State Resident Return. On the New York return, you will take a credit for the taxes that you've already paid to New York. This in effect eliminates double taxation and you ultimately pay the rate of the higher state.
5 :
You must file in both taxes. When you file your New York State return, you can claim a "resident credit" for tax paid to Connecticut on income earned while living in New York State. As a result, the total tax paid to both states (tax paid to NY plus tax paid to CT) will not be more than if you paid tax only to NY. If you live in Yonkers, then be sure to complete the section related to Yonkers city income tax when you file your New York state tax return.
6 :
your tax home is where you work unless for short, temporary assignments if your Cn job is more or less permanent, you file Cn State return but you will have to file a NY non resident or part time because there are some local taxes due since you actually live there
