Question

Taking a job in NY, but I live in DC

Forum|Forum|5 years ago
February 22, 2021
1 reply
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Hi - I am potentially taking a job in NY, but I live in Washington, DC. The job will be remote. I think NY state has requirements where they have "convenience of the employer" which basically means which provides that an employee with income from New York sources owes New York State taxes even if they are a non-resident. So I believe I will be charged "NY state" tax is that correct?

In addition, if the office is in "NYC" will I also be charged "NYC" tax?

Finally, will I also need to pay "DC" tax? I believe the answer is yes to the DC tax question, but then the question is will I be double taxed? What are the credits I will get to help offset this?

Any help is greatly appreciated!

Not A Product Question

E

ErnieS0

You are correct. New York does have a “convenience of the employer” test and is perhaps the most aggressive among all states in taxing telecommuters.

If your employer deems your “office” to be NY, then you will file a nonresident New York tax return and pay NY state tax on 100% of your NY income. You do NOT have to pay NYC tax because you are a nonresident. If your potential employer has a D.C. office, see whether you can be assigned there for tax purposes.

You will have to pay D.C. tax if you remain a resident of the District. D.C. will give you a credit for tax paid to New York.

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