What determines one's marginal state income tax rate

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Q. My wife lived in New York for about half of 2004 and earned about $25 K. She lived in another state for the rest of the year, and I did not reside in NY or work in NY during the year. Her marginal income tax rate in NY would be low, based on only her NY income, but it would be much higher if based on our joint income for the whole year. What determines one's marginal state income tax rate -- the income in that state, or the overall income of both spouses in all states? Is the answer specific to New York or general to most/all states? I am trying to determine how much we would save in taxes by contributing to the NY 529 college savings plan, for which I believe New York offers an income tax deduction.

A. -Per the IT 203 instructions, when one spouse is a nonresident with NY source income or a part-year resident, and the other spouse is a full year nonresident with no NY source income, and they file a joint federal income tax return, they must

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