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Tax confusion -2 state filing question

DrezDrez Registered User regular
edited January 2012 in Help / Advice Forum
So, I just received my W2s. I worked from Sept in 2010 through the end of June in 2011 at an assignment through a temp agency. My temp agency was based in New York. My assignment was initially based in New York, but I worked in New Jersey between April and June. So I was in NY for Jan through March and NJ for Apr though Jun.

I thought I would have to file in New Jersey, but I see nothing about taxes paid to New Jersey on my W2. Am I wrong? I'm very confused because I actually worked at this same client through a DIFFERENT agency and I also worked in both the NY and NJ office a few years ago and had to file in both states when it came to do the return.

I'm a resident of NY.

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    DrezDrez Registered User regular
    By the way, I said fuck it and filed anyway so at this point it is an academic question. I went back and checked my final paystub at that job and it looks like I was never paying NJ taxes. That is strange to me, but since it matched my W2 I guess that's that.

    But any input anyone may have would be helpful because this seems strange to me. I thought the rule was that if you were physically working in X state then you had to pay taxes in X state.

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    etdragonetdragon Registered User regular
    My husband is crashed out at the moment so I can't ask him but I'm fairly certain there is an agreement in place between NJ and NY where you only pay taxes in one of the two states. I'll confirm with the hubby in the morning unless someone else beats me to it.

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    zepherinzepherin Russian warship, go fuck yourself Registered User regular
    I work in DC and live in Virginia, I pay Virginia taxes, but that may just be because I work for the fed so I don't know.

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    khainkhain Registered User regular
    edited January 2012
    zepherin wrote:
    I work in DC and live in Virginia, I pay Virginia taxes, but that may just be because I work for the fed so I don't know.

    DC has a reciprocal income tax agreements with every state so you only pay income tax in the state where you reside.

    Regarding Drez's original question, it looks like NJ and NY do not have any sort of agreement which I believe means that you need to file in NJ as a nonresident and may need to pay income tax even though it wasn't taken out by your employer. From what I'm reading you then generally get a tax credit in the state you reside in so you don't end up paying twice.

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    DrezDrez Registered User regular
    edited January 2012
    khain wrote:
    zepherin wrote:
    I work in DC and live in Virginia, I pay Virginia taxes, but that may just be because I work for the fed so I don't know.

    DC has a reciprocal income tax agreements with every state so you only pay income tax in the state where you reside.

    Regarding Drez's original question, it looks like NJ and NY do not have any sort of agreement which I believe means that you need to file in NJ as a nonresident and may need to pay income tax even though it wasn't taken out by your employer. From what I'm reading you then generally get a tax credit in the state you reside in so you don't end up paying twice.

    The year where I filed in both, I paid taxes in both through my employer. I also had an NJ W2 (in addition to NY) and NJ taxes appeared on my paystubs. This is contrary to now where I only received a NY W2 and my entire wages appear on the NY W2. It's very odd, but there is no information for me to use to calculate NJ taxes, unless I'm expected to split and pro-rate my own wages across both states which would be fucking ridiculous IMO. I mean clerically.

    edit: And yes, that year I received a credit so I wasn't double taxed.

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    nugmanagogonugmanagogo Registered User regular
    You don't have to file in the state that you work in unless they withhold money for said state. I prepare taxes.

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    DrezDrez Registered User regular
    edited January 2012
    You don't have to file in the state that you work in unless they withhold money for said state. I prepare taxes.

    Thanks! I appreciate the confirmation!

    Any idea why it would be different through different agencies? The client (the site I was assigned to) was actually the same. So basically I worked for some period of time in NY at Client X through Agency P and then for some time in NJ at Client X through Agency P. Then later I worked for some time in NY at Client X through Agency Q and for some time in NJ at Client X through Agency Q.

    For Agency P, I immediately started paying NJ taxes when I moved to the NJ office.
    For Agency Q, I never started paying NJ taxes.

    I only ask for my own edification/curiosity if you might have any idea why it would be different. I expected to have to file in NJ again and I was surprised I did not have to.

    (And for the record I'm very happy I didn't have to - it's a real pain to file in two states - but I'm just curious why it was different this time.)

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    nugmanagogonugmanagogo Registered User regular
    Sorry about the long delay, some companies just don't withhold money for a state. My guess, albeit a somewhat educated one, is the extra cost of doing so. It saves them monsy not withholding for said state.

    god is Love, Love is blind, Ray Charles is blind, Ray Charles is god
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