New York

Employee's Withholding Allowance Certificate

Remote days worked outside New York for a New York employer can still be sourced to New York unless the arrangement is an employer necessity.

Per TSB-M-12(5)I, an employer is not penalized for failing to withhold New York tax on a nonresident employee if: the employee's primary work location is outside New York, the employer reasonably expects the employee to work 14 days or fewer in New York during the calendar year, and the employee in fact works 14 days or fewer. ANY part of a day worked in New York counts as a full day (job-related training days do not count). The rule does NOT apply to traveling salespersons paid on volume, deferred compensation, or nonresident public speakers/athletes/entertainers. SEPARATELY, New York applies the strictest CONVENIENCE-OF-THE-EMPLOYER rule in the country: a nonresident's remote workdays are sourced to New York unless the employee works from a bona fide employer office outside New York (a demanding multi-factor test).

New York City imposes a resident personal income tax and Yonkers imposes a resident income tax surcharge plus a nonresident earnings tax -- all withheld through payroll (see Form IT-2104.1 for nonresident allocation). The Metropolitan Commuter Transportation Mobility Tax (MCTMT) is an employer-paid tax on payroll in the MTA region, not withheld from employees.

2025 base was $12,800.

Beginning in 2026 the wage base permanently adjusts each January 1 to 18% of the state average annual wage (2026: $17,600). Rates shown include the subsidiary tax; an additional Re-employment Service Fund rate of 0.075% applies to all contributory accounts.

New York Paid Family Leave is 100% employee-funded at 0.432% of gross wages for 2026, capped at $411.91 per employee per year (NYSAWW $1,833.63). Separately, NY Disability Benefits Law (DBL) allows employee withholding of 0.50% of wages up to $0.60 per week.