NY Tax Tribunal Reviews Challenge to Tax on Remote Workers

A fight against New York’s taxation of remote workers continued Thursday in the New York State Tax Appeals Tribunal, in a case watched closely by some lawmakers seeking to weaken or overturn the much-criticized practice.

The tribunal, a quasi-judicial forum, held oral arguments in Manhattan on the challenge by Cardozo Law School Professor Edward Zelinsky against the state’s “convenience of the employer” rule—which allows the state to tax the income of nonresidents if their employer is based in New York and they aren’t required to work elsewhere.

In an interview after the arguments, which were closed to the press, Zelinsky ...