Commuter taxes 2026

Live in Massachusetts, work in New York

New York taxes eligible New York-source wages of a Massachusetts resident. Massachusetts may allow a limited other-jurisdiction credit; New York remote-work sourcing and the Massachusetts credit must each be checked.

Choose your next step

Payroll starting point: 2026 New York IT-2104; IT-2104.1 for nonresidence/allocation (opens in new tab). Give IT-2104 to your employer for withholding. Use IT-2104.1 to certify actual nonresidence and withholding allocation as instructed; neither Massachusetts residence nor that allocation certificate is a blanket New York wage-tax exemption.

Official tax guidance for both states

Check withholding, filing requirements and current forms with each state's tax agency.

Agency directory checked 2026-10-01 against the IRS state-government directory. This verifies the agency links, not an individual tax result. Use forms for the year you are filing.

Before you use this estimate

This model assumes a full-year resident of Massachusetts, ordinary employee wages and all workdays physically in New York. Check exemption eligibility before treating a work-state amount of $0 as your own result. Withholding is a prepayment, not final tax liability. Other income, a move during the year, remote work and separate local taxes or credits can change the result.

Work-state remote-work guidance checked 2026-11-02. The calculator's full-year and physical-work assumptions still apply.

State income tax: $4,860 a year

Modeled annual state income tax for living in Massachusetts and working in New York: about $4,860 on $100,000 of wages, $80 more than if you worked in Massachusetts.

Without wage reciprocity, the work state may tax wages earned there. Your home state generally offers a limited credit for eligible tax paid on the same income. Filing requirements, credit limits and local taxes need a separate check.

Tax guide and official sources: live in Massachusetts, work in New York

Official agency starting points: Massachusetts tax agency (opens in new tab) · New York tax agency (opens in new tab). These directory links identify the selected states' agencies, not your filing obligations. Check their individual-tax guidance and forms for the year you are filing.

Tax to New York
$4,860
nonresident
Tax to Massachusetts
$0
resident, after credit
Total state tax
$4,860
Typical state returns
2

This is the usual filing pattern, not a determination that you must file. Filing thresholds, age or dependent status, other income and withholding refunds can change which returns you need.

How this $100,000 estimate adds up

These steps follow the selected home, work state, salary and filing status. They reconcile the model's annual liability, not the amounts withheld from your paycheck.

Modeled state income tax for Massachusetts residence and New York work
StepNew York work stateMassachusetts home state
Tax before the modeled other-state credit$4,860$4,780
Modeled other-state credit subtracted$0$4,780
Tax after that credit$4,860$0

Total: $4,860 + $0 = $4,860 a year. Amounts are rounded for display. Work-state wage exemptions, when applicable, are already reflected in the first row; they are not an other-state credit.

The modeled credit is applied in Massachusetts, the home state. Actual eligibility and credit limits require the state instructions. Included county components stay in these amounts; excluded local taxes and credits stay excluded. Federal income tax, payroll programs and refund eligibility are outside this reconciliation.

State tax at different salaries

WagesTo NYTo MAModeled totalIf you worked in MA
$50,000$2,103$177$2,280$2,280
$75,000$3,453$77$3,530$3,530
$100,000$4,860$0$4,860$4,780
$150,000$8,291$0$8,291$7,280
$250,000$15,772$0$15,772$12,280

Single filer, all wages earned in New York, 2026 state tax rules, standard deductions. Local income taxes not included.

From paycheck withholding to your returns

  1. Withholding: Give New York payroll the 2026 IT-2104 and the applicable IT-2104.1 nonresidence/allocation certificate. The latter is revision December 2024 and is still listed in the current forms directory. For this all-work-in-New-York example, do not claim a zero New York allocation merely because your home is in Massachusetts. Review Massachusetts resident prepayments separately; use M-4 where Massachusetts withholding is handled, or the applicable Form 1-ES instructions for estimates.
  2. Returns: Prepare New York IT-203 first when required, adding IT-203-B if wage allocation or another listed condition requires it. For a paper 2025 New York return, summarize W-2 information on IT-2 and submit IT-2 rather than the federal W-2 itself; keep the W-2. Then prepare Massachusetts Form 1, its other-jurisdiction credit worksheet and Schedule OJC. Include OJC and retain the New York return and tax-payment records. Annual-return instructions checked here are 2025 editions.
  3. Credit or refund: The Massachusetts credit has its own requirements: income must be included and taxed in Massachusetts, and the other-jurisdiction return and payment must support eligible tax. The applicable Massachusetts worksheet limits the credit; New York withholding or New York’s sourcing decision alone does not complete that calculation. Massachusetts does not allow this credit for city or local taxes. Do not subtract the same credit again in New York.

Worked example: $100,000 of wages

Single filer, full-year resident of Massachusetts, all work performed in New York, no other income, standard deductions and modeled personal exemptions. Before credit, Massachusetts tax is $4,780. Modeled Massachusetts credit: $4,780. Pay $4,860 to New York and $0 to Massachusetts, modeled total $4,860.

The displayed amounts reconcile the existing 2026 state-only model for all physical New York work, not a completed OJC worksheet or hybrid allocation. The annual IT-203/Form 1/OJC sources checked are 2025 editions; the IT-2104 instructions are for 2026 and IT-2104.1 remains revision December 2024. Payroll contributions, local taxes and special credits are excluded.

Annual liability, not paycheck withholding or a refund estimate. Federal tax, payroll programs, other local taxes, special credits and part-year residency are excluded. Local income taxes not included.

Remote-work and local exceptions

This estimate is for a full-year Massachusetts resident with ordinary wages and every workday physically in New York. If the assigned or primary office is in New York, New York may count Massachusetts telework days as New York days under its convenience rule. Apply employer-necessity and bona fide employer-office tests with records; permission to work at home does not by itself complete those tests. The model does not allocate hybrid days or decide the Massachusetts credit for them.

Pittsfield home, all workdays in Albany

A Massachusetts resident with an ordinary job physically in Albany uses New York nonresident filing before checking the Massachusetts resident credit. Keep the assigned-office evidence, workday calendar, payroll certificates and completed returns. This example has no New York City or Yonkers workplace. If work moves to a Massachusetts home office, check New York’s bona fide employer-office rules and the Massachusetts credit requirements separately; no home-day allocation or local tax is calculated here.

Official forms and instructions

Source audit 2026-11-02. Use the return and instructions for the year you are filing; a current-forms link may still show a prior-year return. Official sources checked; not independently reviewed.

Check your payslip and keep these records

What to do

Working from home for a New York employer

New York has a "convenience of the employer" rule. For a nonresident employee whose assigned or primary office is in New York, ordinary out-of-state telework may remain New York-source under the convenience rule. Check employer necessity and the bona fide employer-office conditions in TSB-M-06(5)I. The employer's New York address alone does not determine the allocation. The calculator does not allocate hybrid workdays.

Local income taxes

Special credit rules

Frequently asked questions

Do I pay New York income tax if I live in Massachusetts?

Yes. New York taxes wages earned there by nonresidents. On $100,000 that's about $4,860.

Do I have to file taxes in both Massachusetts and New York?

Prepare New York IT-203 first when required, adding IT-203-B if wage allocation or another listed condition requires it. For a paper 2025 New York return, summarize W-2 information on IT-2 and submit IT-2 rather than the federal W-2 itself; keep the W-2. Then prepare Massachusetts Form 1, its other-jurisdiction credit worksheet and Schedule OJC. Include OJC and retain the New York return and tax-payment records. Annual-return instructions checked here are 2025 editions.

Will I be taxed twice?

The modeled state credit reduces overlap on eligible wages; separate local taxes or sourcing differences can still leave additional tax. Massachusetts credits the tax you pay New York, so your total is about $4,860 on $100,000, compared with $4,780 if you also worked in Massachusetts. Local city or county taxes may still apply.

Related

Rules reviewed 2026-09-24 from state revenue departments and the Tax Foundation. Estimates only; confirm with each state's revenue department.