Do I Pay Yonkers Tax if I Dont Live There

If you don’t reside in Yonkers, New York, you’re generally exempt from paying Yonkers income tax. However, if you have a business located in Yonkers or earn income from sources within the city, you may be subject to Yonkers business or other taxes. To determine your specific tax obligations, it’s recommended to consult with a local tax professional or refer to the official Yonkers tax code for more information.

Yonkers Tax Residency Requirements

Whether or not you are required to pay Yonkers taxes depends on your residency status. Yonkers considers you a resident if you maintain a permanent dwelling in the city and intend to live there indefinitely.

Proof of Residency

To establish residency, you must provide proof of the following:

  • Physical address in Yonkers
  • Driver’s license or ID card with Yonkers address
  • Utility bills (gas, electric, water) with Yonkers address
  • Rent or mortgage receipts
  • Voter registration card with Yonkers address

Exceptions

There are a few exceptions to the residency requirement. You are not considered a Yonkers resident if you:

  • Are a student attending college or university in Yonkers
  • Are a member of the military stationed in Yonkers
  • Are a seasonal worker who lives in Yonkers for less than 180 consecutive days

Table: Residency Status and Tax Liability

Residency StatusYonkers Tax Liability
ResidentYes, for all income earned in New York State
Non-ResidentYes, for income earned in Yonkers only
StudentNo
Military MemberNo
Seasonal WorkerNo, if living in Yonkers for less than 180 consecutive days

Determining Non-Resident Tax Liability

Determining whether you owe Yonkers City taxes as a non-resident involves examining your income sources and activities within the city. Understanding the criteria is crucial to avoid any potential tax liabilities.

Yonkers taxes are levied on income earned within the city and on certain activities conducted there. The following factors determine tax liability for non-residents:

  • Employment: If you work in Yonkers, you are required to pay Yonkers City income tax on the portion of your wages earned within the city, regardless of your place of residence.
  • Business Activities: If you operate a business or conduct professional activities in Yonkers, you may be subject to Yonkers business taxes, such as the Business Privilege Tax.
  • Investment Properties: Income from investment properties located in Yonkers is subject to Yonkers City taxes.
Tax Rates for Non-Residents
Income/ActivityTax Rate
Employment Income1.6%
Business ActivitiesVaries depending on activity
Investment Property Income1.6%

To calculate your Yonkers City tax liability as a non-resident, you must determine the amount of your income or business activity generated within the city. You can consult the Yonkers City Tax Code or seek professional assistance to ensure compliance.

Out-of-State Income and Yonkers Tax

If you do not live in the city of Yonkers but earn income within the city, you may be subject to Yonkers’ personal income tax. Here’s an explanation:

  • Residency and Income: Your residency status does not matter when it comes to Yonkers income tax. Even if you live outside the city, you will have to pay Yonkers tax if you earn income within the city.
  • Employer’s Location: If your employer’s business address is located in Yonkers, you will be required to pay Yonkers income tax on the income you earn from that job, regardless of where you reside.
  • Income Sources: Yonkers income tax applies to various sources of income, including wages, salaries, tips, bonuses, commissions, and self-employment income.
  • Tax Rate: The Yonkers personal income tax rate is 1.65%.

To ensure compliance, employers are required to withhold Yonkers income tax from your paycheck if your work address is in Yonkers. This withheld amount will be remitted to the city of Yonkers on your behalf. You may also need to file a Yonkers tax return to report your income and claim any applicable deductions and credits.

Income SourceTaxable?
Wages/Salaries from Yonkers employerYes
Self-employment income earned in YonkersYes
Wages/Salaries from an employer outside YonkersNo
Investment incomeNo (unless derived from a business activity located in Yonkers)

Whew, that covers it for now, folks! I hope this little deep dive into the Yonkers tax conundrum has shed some light on the matter. Whether you’re a resident or a visitor, it’s always a good idea to stay informed about your tax responsibilities. So, if you have any more burning tax questions, don’t be shy! Come on back and let’s tackle them together. Thanks for hanging out with me today, and see you next time!