The New York part-year and nonresident returns require you to manually add certain items of income that are taxable to the state. Since all income is taxable to your resident state, the manual entry is not required. Let's talk about Unemployment Compensation specifically.
Why do I need to add it to the return manually?
The program will automatically pull the W-2 earnings as reported in Box 16 (of the W-2) as these are specified by state, but will not pull other sources of income. These must be manually allocated instead. This includes Unemployment Compensation as it is taxable in the state it was recieved. Since the program does not identify which state the Unemployment Compensation is from, you must manually add this to the part-year and nonresident returns.
How do I make the manual entry?
- State Section
- Part-Year/Nonresident New York Return
- Income Subject to Tax
- Enter Income, other than Wages, taxable to New York
- Unemployment Compensation
How much should I enter?
Enter the portion of the federal amount (shown in yellow) that represents taxable unemployment compensation you received as a nonresident in New York State.
If the unemployment compensation received from New York State sources is based on wage or salary income earned partly in and partly out of New York State, determine the amount allocable to New York State in the same manner as the wage and salary income on which it is based.
Add the portion of the federal amount (shown in yellow) that you received while you were a resident.