I am a resident of Virginia, but a full-time college student at a school in New York, and I have a part-time job at my college. Has my income been allocated to New York?
I am a resident of Virginia, but a full-time college student at a school in New York, and I have a part-time job at my college. Has my income been allocated to New York?
Since you are considered a permanent resident of VA and are only in NY temporarily for school, you
will need to file as non-resident for NY (for your NY source income only - your
NY wages). You will also need to file a
VA resident state tax return (for all income from all sources including NY
wages). You will get a state tax credit in VA for any NY state taxes that you
paid on your nonresident NY state tax return.
You
will want to work on your non-resident NY state tax return first. You will then
take a tax credit from your non-resident NY taxes on your resident VA state tax
return. (Please note that you will only get a tax credit for your NY taxes up
to the amount of VA taxes that would have been paid if the income was earned in
VA).
Some additional information about NY state income
taxes:
NY
taxes all the income reported when calculating NY state income taxes (whether
resident, part-year resident or nonresident) but you will only be required
to paid a portion of the total NY state income taxes calculated (your
percentage of the total NY tax that relates to your NY source income only)
The
way that the NY state income tax return works is that NY looks at all of your
income from all sources and generates a total NY state income tax on all
income. When NY is determining the actual NY state income taxes that you
owe, NY multiples the total NY taxes on all income by the percentage of NY
source income over all source income. So if all your income is $10,000 but NY
source income is $8,000, NY will calculate the NY state income tax on
$10,000 then multiply this total tax by your NY source income over total income
($8,000/$10,000) to get your percentage of NY state income taxes on your NY
source income. So in this instance, your NY state income tax liability would be
80% of the total amount of NY taxes generated (on all income). That is why
all your income is being reported on your NY state tax return.
You
can preview your NY Tax summary to see what portion of the total taxes for NY
you are actually paying
Just
follow the TurboTax guide when working on your states (remembering to do your
non-resident state return first) and TurboTax will do all the calculations and
credits to your resident states return
Here
is additional information about filing in multiple states (select "see
more answer" to view the entire attachment)