Live in New Hampshire, Work in New York: Which State Taxes Your Paycheck?
Answer
Only New York taxes you. New York withholds from wages earned inside the state and you file a New York nonresident return. New Hampshire levies no personal income tax on wages, so there is no resident return on the other side — and no credit, because there is no New Hampshire tax to offset.
Last verified
This is the mirror image of the more common commute. There is no home-state return to file, so the New York nonresident return carries the whole obligation — and because New Hampshire charges nothing, there is no credit mechanism involved anywhere.
New York also has a layer below the state one, and it is the layer that survives every agreement: New York City levies a resident income tax, and Yonkers levies both a resident tax and a small nonresident earnings tax. New York City has not taxed nonresident commuters since the commuter tax was repealed in 1999 — a New Jersey or Connecticut resident working in Manhattan owes New York State but not New York City.
What you file
- 1Nonresident return · New YorkForm IT-203
File a New York nonresident return for the wages you earned in New York. New Hampshire has no wage income tax, so there is no second return and no credit to claim.
The two states, side by side
| New Hampshire | New York | |
|---|---|---|
| Taxes wages | No | Yes — graduated |
| Reciprocity partners | None | None |
| Convenience rule | No | Yes — general rule |
| Nonresident return | Not applicable | Form IT-203 |
| Credit for other-state tax | No income tax | Form IT-112-R |
| Nonresident safe harbour | Not applicable | None published |
| Local income tax | No | Yes |
| Revenue department | New Hampshire Department of Revenue Administration | New York State Department of Taxation and Finance |
| Last verified |
The other direction
Reversing the commute does not always reverse the answer. Living in New York and working in New Hampshire gives:Home state only.
Same two states, different situation
The withholding answer turns on how you are paid and where the work happens, not only on which two states are involved.
- Remote worker: New Hampshire → New YorkConvenience-of-the-employer rule — employer state taxes you
- 1099 contractor: New Hampshire → New YorkClient state only, if you work there
- Moved mid-year: New Hampshire → New YorkOne part-year return — the state you moved to
Other New Hampshire pairs
Questions people actually ask
I live in New Hampshire and work in New York. Which state takes the tax out of my paycheck?
Only New York taxes you. New York withholds from wages earned inside the state and you file a New York nonresident return. New Hampshire levies no personal income tax on wages, so there is no resident return on the other side — and no credit, because there is no New Hampshire tax to offset.
Which state should my employer be withholding for?
New York. The wages are sourced to New York, so New York withholding is correct and there is no New Hampshire withholding to set up, because New Hampshire levies no income tax on wages.
How current is this?
The New Hampshire and New York rules on this page were last checked against New Hampshire Department of Revenue Administration and New York State Department of Taxation and Finance on 2026-08-07. We re-check the full grid every December after state legislative sessions close, and re-check the convenience-of-the-employer states quarterly because that is where the rules move fastest.
Sources
Every fact above comes from the revenue department that publishes the rule. We do not cite secondary summaries, and we do not restate a figure we could not find at source.
- New Hampshire Department of Revenue Administration — individual income taxaccessed 2026-08-07
- New York State Department of Taxation and Finance — individual income taxaccessed 2026-08-07