New York - IT-203B

[Yardley CPA]

For my New York experts, I continue to use this form for several clients who live in New Jersey but work in Pennsylvania.  While completing Schedule A, I note that the allocation percentage is very close to 100%.  During this pandemic, the vast majority of these clients have worked from home.  The research that I've done suggests that working from home, in most cases, is not a necessity but a convenience.  As such, New York finds that if the company is located in their state, you're considered a non-resident worker in their state. Just making sure nothing has changed in regard to this?  I know there are some exceptions, but generally speaking working from home doesn't normally decrease the allocation of New York income, correct?

[G2R]

Hi @Yardley CPA I have a client that works in NY, but lives in FL for her own convenience, not the employers.  I only file an IT-203 and allocate 100% of the W-2 income from the NY job to the NYS amt column pm IT-203. 

Another client of mine work in NYC, but come Covid, he worked remotely in NJ the entire year.  All wages were still allocated to NY earnings despite his lack of physical presence in NY. 

I think IT-203B is meant for W-2 jobs where some of the wages are earned inside NY and some are earned outside NY, the deciding factor being necessity.  Meaning the wages earned outside NY and are not allocated to NYS because it was necessary for them to be outside of NY to perform the job. 

I agree with your assessment of the convenience test.  

I was confusion about the NJ/ Penn reference in relation to NY so if I misunderstood the question, I'm sorry for a pointless reply.  

[Yardley CPA]

15 hours ago, G2R said:

I was confusion about the NJ/ Penn reference in relation to NY so if I misunderstood the question, I'm sorry for a pointless reply.  

@G2R Never a pointless reply.  Thank you for chiming in.