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Someone please give me advice. I changed jobs in Nov. and started working for a small company in NJ. I am teleworking in Atlanta. The company has not been registered yet in GA for state tax and they have been taking out NJ state tax. Can I get this money back from NJ to pay GA tax or have I just lost it? Do I have to file in NJ or can I just add this into my GA state tax form. Please advise. Thanks!
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The rules vary from state to state, but in general the tax you pay to one state is deducted from what you pay to another one. You file in New Jersey, showing tax paid. If I understand correctly, you live in Atlanta and therefore are subject to Georgia tax; the company you work for is in New Jersey and therefore they deduct New Jersey tax. Because you are earning income from a New Jersey company, this income may be subject to New Jersey tax. In any case you have to file the non-resident return, and may or may not get the tax back depending on New Jersey law, which I don't know. You also file your Georgia return showing the amount of tax you paid to New Jersey. Probably that amount will be deductible from your Georgia tax. Since you live in Georgia, any investment income you have will be subject to Georgia but not New Jersey tax. Best wishes, Chris
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Chris has the basics correct.
You will file NJ1040NR with New Jersey. You will report your income from everywhere in column A and leave column B (income from NJ) blank. Report the NJ withholdings on the appropriate line.
Get a letter from your employer attesting to the fact that you worked in GA all year and did not work in NJ. Attach a copy of the letter to your NJ return (This will save time if NJ decides to review your return.)
As always, keep copies of everything you send to the state.
You should get your entire withholdings back.
IMPORTANT: You want to do this ASAP, because you probably owe GA money for the withholdings that went to NJ. You can "wait" on your GA return until 4/16 to see if you get your NJ refund first.
Ira
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Thanks for your help. I will file ASAP and hope it comes through.
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GWhedon
Crosenfield replied at 46035 well. The only thing I want to add, is perhaps the tax you paid to New Jersey will be a credit against the tax you will pay to Georgia.
Here in WA we have individuals working in ID and OR. ID has a deduction against income; OR has a credit against the tax you pay to OR.
Do get the forms for both states (and instructions); work NJ first, then work GA.
Best wishes
Jim
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Jim,
In principle you are correct, but in this case there should be no credit on GA because 100% of the NJ tax will be refunded.
Ira
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