Finance Q&A

NJ Income Tax?

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Q. I am employed in NYS but I live in NJ. Last year after calculating my returns there was an underpayment to NJ even after the credit they gave me for paying income tax to another jurisdiction. How can I deduct this amount on my 1040? It was $285 that I paid in April of 1997 for the tax year 1996. NJ does not send any forms that I would be able to attach to my 1040. I am afraid to add it to the line labeled "State and Local taxes paid" because it won't match my W2 form. Any suggestions?

A. -Assuming that you're talking about an entry on Schedule A for Itemized Deductions, you could attach a copy of the cancelled check that you used to pay the additional tax. In theory, I don't think that you have to have a receipt proving payment

 


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