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April 5, 2022
Question

why my State refund changed when i added W2 from my new state

  • April 5, 2022
  • 1 reply
  • 0 views

I moved from NY to FL last year, 2021. When filing my taxes I noticed that my NY refund decreased significantly when I entered the W2 from my new state, FL. I understand that the federal would change due to increased federal income, but why did my NY refund change. Isn't it based on the money I earned while a resident of NY?

    1 reply

    April 5, 2022

    New York uses a progressive system which means it uses your total income to determine which tax rate is applied to your New York income.  

     

    For example (illustrative only), if you made only $10,000 in New York you would not owe tax.  However, if you made $50,000 in New York and Florida, your tax rate is 10% so you would owe $1000 on your $10,000 NY income.

    April 5, 2022

    Thank you!