How Much Money In Taxes Will I Save If I Was To Change Jobs From Ny To Jersey

TRENTON, N.J. (CBSNewYork) -- The coronavirus pandemic is raising new questions for New Jersey taxpayers.

Their commute to New York City jobs stopped months ago, so who gets their tax dollars -- New York or New Jersey?

Why should New Jersey resident working from home have to pay New York state income taxes for jobs they are no longer commuting to? Legislators from both parties are fighting to keep that money in Jersey with a new neb.

"Well, in that location's nothing on the books that allows them to practice that right at present. Right now, they're notwithstanding an employee of a company based in New York," New Jersey State Senator Paul Sarlo told CBS2'south Meg Bakery.

RELATED STORY: Due north.J. District Facing Dilemma In November — A Big Revenue enhancement Increase Or Drastic Cuts

More taxed income in Bailiwick of jersey could mean major savings for residents.

"The resources from New Jersey's income taxation goes into what's called the property tax relief fund," New Jersey State Senator Steve Oroho said.

New Jersey's tax rates are similar to New York land'south, so it doesn't affect individuals' total taxes much.

On the flip side, money would be taken away from New York, which trickles down to New York City for basic services.

So what happens this year with your tax returns?

Certified public accountant Due east. Martin Davidoff says you may exist able to prorate which state you pay, even if y'all alternate where you work calendar week-to-week based on the convenience rule.

RELATED STORY: New Jersey Gas Tax Increasing By Nearly 10 Cents Per Gallon

"I would have the position if your employer doesn't allow you to piece of work in New York anymore and your but choice is to piece of work in your home in New Bailiwick of jersey or Connecticut, I'g gonna say y'all're not subject to New York land," Davidoff said.

The new law would codify that. More than 400,000 New Jerseyans used to work in New York earlier the lockdown. Now just 10% have returned, and then a modify in the tax lawmaking could mean millions of dollars are redirected.

MORE FROM CBS NEW YORK

Stimulus Package Update: While Politicians Negotiate, Economic Damage Continues
At Least 3 Dead After Night Of Gun Violence In New York Urban center; NYPD Reports 94% Increment In Shootings
Former Employee Of Yonkers Forever 21 Accused Of Recording Female Customers In Dressing Rooms

Y'all tin can get the latest news, sports and weather condition on our brand new CBS New York app. Download here.