I moved to Philadelphia, working for a consultant company based on New Jersey. Which is the % of Taxation that
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I have to Pay? Federal Taxes ? NJ Taxes ? PA Taxes ? Philadelphia Taxes ? How can I reduce my taxation considering that I am living in Philadelphia but my company is in NJ. Thank you
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Answer:
Federal Taxes - it depends on your deduction amounts and how much money you earn, since the Federal tax is graduated. NJ - you do not pay nj taxes since you reside in Pennsylvania. Your employer may automatically withhold to NJ, but this should be forwarded to PA when you file your state taxes. PA - 3.07% Philly Taxes - 4.0% If your employer withholds to NJ, then you credit that as your PA state tax and PA will work it out with NJ.
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