Multi-State Part-Year Tax Calculator

As a part-year resident you file in both states. Wages and other income are allocated by days of residency — if you moved on July 2, approximately 182/365 of your income is taxed by the old state and 183/365 by the new one. Most states use the federal taxable-income figure as the starting point and apply their own brackets. Common forms: CA 540NR, NY IT-203, NJ NJ-1040NR, IL Schedule NR.

A reciprocity agreement between two states means a resident of one state who works in the other pays state income tax ONLY in their resident state — the work state does not tax their W-2 wages. There are 16 U.S. pairs: NJ↔PA, DC↔MD, DC↔VA, MD↔VA, MD↔PA, MD↔WV, VA↔WV, VA↔KY, VA↔PA, KY↔IL, KY↔IN, KY↔MI, KY↔OH, KY↔WI, KY↔WV, IL↔IA, IL↔MI, IL↔WI, IN↔MI, IN↔OH, IN↔PA, IN↔WI, MI↔MN, MI↔OH, MI↔WI, MN↔ND, MT↔ND, OH↔PA, OH↔WV, PA↔WV. File the work state's withholding-exemption form (PA REV-419, NJ NJ-165, MD MW507, DC D-4A) to stop double withholding.

No. New York and New Jersey have no reciprocity agreement. NY residents working in NJ owe NJ non-resident tax on NJ-sourced wages. NJ residents working for an NY employer face NY's convenience-of-employer rule — NY taxes all wages earned for a NY employer regardless of where the work is physically performed, unless the out-of-state location passes a strict 'necessity' test. NJ grants a resident credit for NY tax paid (Form NJ-1040, Schedule A).

New York, Connecticut, Delaware, Nebraska, and (in a limited form) Pennsylvania apply a 'convenience of the employer' rule for non-resident telecommuters. Days worked at home are sourced to the employer's state unless working from home was for the employer's necessity — not the employee's convenience. This creates double taxation for many remote workers, partially offset by resident-state credits. NY's rule is the most aggressive; see NY TSB-M-06(5)I.

Nine states have no wage income tax: Alaska, Florida, Nevada, New Hampshire (taxes only interest/dividends, phasing out), South Dakota, Tennessee, Texas, Washington (has a capital gains tax), and Wyoming. Moving FROM one of these to a tax state for part of the year triggers residency allocation only for the resident-state portion. Moving TO one means your remaining income is untaxed at state level.

Almost always yes, unless one of the states has no income tax. Each state requires a part-year-resident return showing the income you earned while domiciled there. Domicile is the test: where you have your permanent home, voting registration, driver's license, vehicle registration, and close personal ties. Audit-prone situations: buying a home in a new state without selling the old one, keeping the same employer, or returning frequently.

Three paths: (1) If a reciprocity agreement covers your pair, file the exemption form with your employer so only resident-state tax is withheld. (2) Without reciprocity, claim a 'resident credit' on your resident state return for taxes paid to the non-resident state (Form IT-112-R in NY, Schedule S in CA, Schedule OSC in MA). (3) Bona-fide relocation — if you moved mid-year, file part-year returns so income is split, not double-counted.

Part-year: you changed domicile during the year — file a part-year resident return in each state covering your residency period. Non-resident: you never lived in the state but earned income sourced there (worked there part of the year, owned rental property, received K-1 income). Full-year resident: you lived in the state the entire year. Many state forms combine part-year and non-resident (e.g., NY IT-203, CA 540NR) — use the checkbox on page 1.