Live in NJ, work in NYC.
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General information only
Remote-Work Complications
New York State / New Jersey
New York's ‘convenience of the employer’ rule can cause days worked from a New Jersey home to remain taxable by New York, even though the work is physically performed outside the state.
Source: NYS Department of Taxation and Finance
General information only. Rules can change and individual circumstances vary. Verify with the relevant government agency or a qualified professional.
NY-Source Income
New York State
If you live in New Jersey but physically work in New York, wages earned for that work are generally considered New York-source income and are subject to New York State income tax. If your primary office is in New York but you work remotely from New Jersey, New York may still treat those remote days as New York workdays unless the remote location qualifies as a bona fide employer office.
Source: NYS Department of Taxation and Finance
General information only. Rules can change and individual circumstances vary. Verify with the relevant government agency or a qualified professional.
NY Nonresident Filing
New York State
A New Jersey resident who earns New York-source income will generally file a New York nonresident return, Form IT-203, if the applicable filing requirements are met. As a nonresident, you are taxed by New York on income sourced to New York rather than simply because your employer is located there.
Source: NYS Department of Taxation and Finance
General information only. Rules can change and individual circumstances vary. Verify with the relevant government agency or a qualified professional.
NJ Resident Filing
New Jersey
If New Jersey is your tax residence, you generally file a New Jersey resident return, Form NJ-1040, and report your income from all sources—including wages earned in New York. Paying New York tax on those wages does not remove them from your New Jersey return; the potential double taxation is generally addressed through New Jersey's credit for taxes paid to another jurisdiction.
Source: NJ Division of Taxation
General information only. Rules can change and individual circumstances vary. Verify with the relevant government agency or a qualified professional.
Credit for Taxes Paid to Another Jurisdiction
New York State / New Jersey
New Jersey residents who pay New York income tax on income that is also taxable by New Jersey may generally claim a credit on their New Jersey return using Schedule NJ-COJ. The credit is limited: it generally cannot exceed either the qualifying tax paid to the other jurisdiction or the New Jersey tax attributable to the same income, so it does not necessarily eliminate every difference between the two states' tax systems.
Source: NJ Division of Taxation
General information only. Rules can change and individual circumstances vary. Verify with the relevant government agency or a qualified professional.
NYC Resident Income Tax
New York City / New York State
Simply working in New York City does not normally make a New Jersey resident subject to NYC personal income tax. NYC personal income tax generally applies to city residents, not commuters. One important exception involves certain employees of the City of New York who live outside the city: they may be required to file Form NYC-1127 and pay an amount calculated as though they were city residents.
Source: NYC Department of Finance
General information only. Rules can change and individual circumstances vary. Verify with the relevant government agency or a qualified professional.
Withholding
New York State / New Jersey
Employers generally withhold New York State tax from wages attributable to work performed in New York. A nonresident who performs services both inside and outside New York may use Form IT-2104.1 when appropriate to establish nonresident status and allocate withholding; however, New York's remote-work rules can affect that allocation. New Jersey withholding depends in part on the employer and the taxes already being withheld elsewhere — New Jersey employers generally do not need to withhold additional NJ income tax from a New Jersey resident when another jurisdiction's income tax is already being withheld at an equal or higher rate. In all cases, withholding is only a prepayment—the final NY liability, NJ liability, and any NJ credit are determined when the returns are filed. New Jersey's employer payroll-tax rules are covered separately at nj.gov/treasury/taxation/businesses/payroll.
Source: NYS Department of Taxation and Finance
General information only. Rules can change and individual circumstances vary. Verify with the relevant government agency or a qualified professional.
Questions
Do I pay NY tax if I live in NJ but work in NYC?
Generally yes — New York taxes income earned from NY-source work regardless of where you live, and you'd typically file a New York nonresident return. New Jersey, as your resident state, usually gives you a credit for taxes paid to New York to reduce double taxation.
Does working from home change this?
It can, but it's genuinely complicated — New York's “convenience of the employer” rule can still tax remote days worked for a New York employer in some cases. This is exactly the kind of situation where you should talk to a tax professional, not rely on a general explainer.