Ny / Nj / Ca
This is my situation now.
I currently work in CA and my wife will start work in Staten Island, NY in July so we are planning to move to New Jersey. I will be telecommuting for my company from NJ. I am looking at how the state taxes will be calculated for the year 2010 (ie 2011 filing).
If I were to file jointly with my wife, how will the state taxes be computed?
a. For my income, I will be paying tax based on CA & NJ. Will I end up paying taxes which is greater of two (ie CA, NJ)? Looking at the online tools which calculate taxes, looks like CA taxes are more than NJ? So I will be paying state taxes at the CA rate?
b. For my wife's income, (NY & NJ), will l be paying the NY state and city tax rates since NY seems higher than NJ?
Is it better to file taxes seperatly?
Assume total income of 100000, with 60000 earned in CA and 40000 in NY, can anyone predict how the taxes will come out?