Payback, New Jersey Style
On July 21, 2023, New Jersey Governor Phil Murphy signed into law retaliatory tax legislation aimed directly at its neighbor, New York. Assembly Bi...
On July 21, 2023, New Jersey Governor Phil Murphy signed into law retaliatory tax legislation aimed directly at its neighbor, New York. Assembly Bill No. 4694. The rule in the majority of states, including the rule in New Jersey prior to enactment of the new law, is that nonresident individuals are only taxed on their income earned from services actually performed in the state. To the great consternation of New Jerseyans, New York has long been an exception imposing what is known as the convenience of the employer rule.