Why does my state show my entire YTD amount if I did not work there for the entire year?

Modified on Mon, Aug 1, 2022 at 3:32 PM

Disclaimer: Krucial Rapid Response, Inc. and its officers, employees, representatives, or affiliates are unable to provide tax or legal advice. Please consult a tax accountant or other tax professional to determine which decision will best meet your needs.


Certain states require that employers match the wages entered in Box 1 of Form W-2. Below are some states that require this. Generally, your resident (home) state will claim all wages you earned, regardless of where you worked.

We will attempt to update this list as more information is available.


Please note that there are a few states that do not have an income tax. These will not appear on Form W-2:

  • Alaska
  • Florida
  • Nevada
  • New Hampshire
  • South Dakota
  • Tennessee
  • Texas
  • Washington
  • Wyoming


TABLE OF CONTENTS


Arizona

Generally, this is the amount included in box 1 of the employee’s federal Form W-2. Amounts considered to be wages for federal tax purposes are considered to be wages for Arizona income tax purposes. Amounts included in wages and subject to mandatory federal withholding are subject to mandatory Arizona withholding.

Source: Arizona Department of Labor


New York

We have verified with our attorneys, CPAs, and the New York State tax website that the information below is correct.

The State of New York requires that each employer report the total amount from Box 1 (Federal wages) in Box 16 for New York (state wages).

Full-year New York State nonresident employees who perform only a portion of their services in New York State – If at any time during the tax year a nonresident employee performs services in New York State (for example, two days a week, every other week, every other month, one month a year, etc.), the amount of wages that must be reported in the State wages, tips, etc. box on federal Form W-2 is the same amount of federal wages required to be reported in box 1, Wages, tips, other compensation. That amount is federal wages before any allocation that the employee may have claimed on Form IT-2104.1. The employee will allocate the part of the employee’s federal wages that are attributable to services performed in New York State when the employee files his or her New York State nonresident income tax return.

Source: Employer’s Guide to Unemployment Insurance, Wage Reporting, and Withholding Tax


Another New York government website also mentions the following:

Box 16: State wages, tips, etc.
This box contains the wages reported in Box 1.

Source: City of New York Office of Payroll Administration


Am I going to pay New York taxes on all wages earned with Krucial Rapid Response?

No. Per our research, you only pay taxes on wages earned in the State of New York. 


What form do I need to use?

Krucial is unable to give tax advice. You will need to consult with a tax preparer to verify if you can use Form IT-203 and IT-203.B.

Was this article helpful?

That’s Great!

Thank you for your feedback

Sorry! We couldn't be helpful

Thank you for your feedback

Let us know how can we improve this article!

Select at least one of the reasons
CAPTCHA verification is required.

Feedback sent

We appreciate your effort and will try to fix the article