While visiting the website of the NJ Chapter of NATP I came across a link to the “How Do I ...” page of the NJDOT website. This page is a great resource for tax pros, with lots of links to info on NJ taxes.
I clicked on “Get my Pennsylvania employer to stop withholding Pa income tax” and was taken to “NJ Income Tax - PA/NJ Reciprocal Income Tax Agreement”, where I actually learned something new that I could have used on many occasions in the past. I was well aware of the reciprocal agreement between NJ and PA, but I did not know there was a form that would fix any problems.
“If you are a Pennsylvania resident and New Jersey income tax was withheld from your wages, you must file a New Jersey nonresident return to obtain a refund. To stop the withholding of New Jersey income tax, complete an Employee's Certificate of Non-Residence in New Jersey (Form NJ-165) and give it to your employer. When filing for a refund, Pennsylvania residents must enclose a signed statement with their New Jersey nonresident income tax returns declaring that they are residents of the Commonwealth of Pennsylvania. Order an Employee's Certificate of Non-Residence in New Jersey, Form NJ-165; New Jersey Nonresident Return, and instruction booklet, or go to our online tax forms.
Likewise, if you are a New Jersey resident and Pennsylvania income tax was withheld from wages you earned there, you must file a Pennsylvania return to obtain a refund. To stop the withholding of Pennsylvania income tax, New Jersey residents who receive compensation from Pennsylvania must complete Form REV-419, Employee’s Nonwithholding Application Certificate, and give it to their employer. More information is available on the Pennsylvania Department of Revenue Web site or by calling 1-717-787-8201.”
While I am sure we can all agree that the NJDOT is not the most competent of organizations, nobody can question the fact that it has a great website with tons of good information and resources.