New York - Credit for Taxes Paid to Another State

Note: The best practice when entering multiple state tax information into Tax Processors Plus Online is to start with the nonresident return(s) and finish with the resident return. This allows the income tax data from the nonresident state(s) to transfer to the resident return.

New York residents may claim a nonrefundable credit for taxes paid to another state. The income must be taxed by both jurisdictions. This credit is for state and local income taxes imposed on a taxpayer's income. Foreign taxes are not included, with the exception of taxes paid to Canada.

Before starting the New York return, prepare the nonresident return(s). Once all nonresident returns are finished, create the New York resident return and Tax Processors Plus Online will automatically calculate the credit based on the nonresident return information.

If the New York return is for a part-year resident, print a copy of the nonresident return(s) to refer to when entering the information for the credit.

To enter or adjust the credit for taxes paid to another state in the New York individual tax return in Tax Processors Plus Online, from the New York Return menu select:

• Credits
• Credit for Taxes Paid to Another State

Additional Information:

New York State Tax Information

New York and New Jersey Income Tax Reciprocity

NY DOT: Resident Credit Information

NY DOT: Income Tax Forms & Instructions

Tax Processors Plus Online strives to keep the information on this page timely and accurate but makes no promise or guarantee about the timeliness, accuracy, or completeness of the contents of this page. This is general information and is not intended to be tax advice. You are encouraged to also review the underlying state resources and publications.