New Jersey Governor Signs Tax Credit for Remote Workers

Remote workers in New Jersey who are subject to New York’s income tax can now claim a credit against their state tax liability under a bill signed by Gov. Phil Murphy (D) Friday.

The new law attempts to address the tax liability of New Jersey residents employed by New York companies, but who work remotely from the Garden State. The measure (A4694) allows remote workers to claim a tax credit to offset their state tax obligation and incentivize more workers to move to New Jersey.

The law introduces a “convenience of the employer test” for residents of states ...