USA NJ resident but work in both NY and NJ - tax implications?

[kobeone]

Hello,

If one resides in NJ but one works let's say 85% of the time in NY and the rest in NJ what are the tax implications? Employer is both based in NY and NJ (although payroll is absolutely based in NY - i think) but been spending majority of the time in NY and was just allowed to work couple of days of the week in NJ. What if the ratio is 50/50.

Would one be better off just working in NY 100% of the time for tax purposes?

Thanks in advance.

 

[angelasticcasnyder]

If you work in New York, but do not live there, you must file a non-resident tax return and report your income earned there. You must also file a resident tax return for New Jersey and pay tax on that same income as well as income from all other sources.

 

[bklynboy]

Keep in mind you get a credit back on your NJ taxes for NY taxes paid so effectively you pay tax based on NJ rates which are lower. Its just more filings and paperwork