Supreme Court Seeks Biden DOJ Views on Work-From-Home Taxes
The U.S. Supreme Court sought the Biden administration's views on a state-against-state clash over billions of dollars in income taxes paid by people who work from home during the Covid-19 pandemic.
New Hampshire is seeking to sue directly at the high court to challenge the Massachusetts practice of taxing nonresidents who used to work in the state but now do their jobs from home.
The case could determine the fate of similar, permanent tax laws in New York and five other states. New Jersey and Connecticut filed a brief backing New Hampshire, telling the court they are losing massive sums to New York in violation of the Constitution.
The stakes are especially high for New Jersey, which estimates it will credit as much as $1.2 billion to its residents for income taxes paid to New York in the 12 months starting in March 2020. Before the pandemic, more than 400,000 residents of New Jersey commuted to jobs in New York City.
The U.S. Supreme Court sought the Biden administration's views on a state-against-state clash over billions of dollars in income taxes paid by people who work from home during the Covid-19 pandemic.
New Hampshire is seeking to sue directly at the high court to challenge the Massachusetts practice of taxing nonresidents who used to work in the state but now do their jobs from home.
The case could determine the fate of similar, permanent tax laws in New York and five other states. New Jersey and Connecticut filed a brief backing New Hampshire, telling the court they are losing massive sums to New York in violation of the Constitution.
The stakes are especially high for New Jersey, which estimates it will credit as much as $1.2 billion to its residents for income taxes paid to New York in the 12 months starting in March 2020. Before the pandemic, more than 400,000 residents of New Jersey commuted to jobs in New York City.