New York Codes, Rules and Regulations › Title 20 - DEPARTMENT OF TAXATION AND FINANCE › Chapter II - Income Taxes and Estate Taxes › Subchapter F - New York City Earnings Tax On Nonresidents › Part 296 - Withholding Of Tax › Section 296.3 - Certificate of nonresidence and apportionment of wages for services within and without the City of New York

Current through Register Vol. 46, No. 28, July 10, 2024
(a)
				  General. An employer who is required to withhold City of New York earnings tax
				  on nonresidents (see section
				  296.1 
				  of this Part) must deduct and withhold such City of New York earnings tax on
				  nonresidents on all wages paid to an employee who is a nonresident of the City
				  of New York for all services performed in the City of New York. Wages paid to a
				  nonresident employee for personal services rendered entirely without the City
				  of New York are not subject to withholding of City of New York earnings tax on
				  nonresidents.
(b) Certificate of
				  nonresidence. Except as otherwise provided in subdivision (d) of this section,
				  employees who are nonresidents of the City of New York and perform any services
				  within the City of New York must file with such employee's employer a "City of
				  New York Certificate of Nonresidence," form IT-2104.2, and such employer must
				  then deduct and withhold City of New York earnings tax based on the information
				  furnished in such certificate of nonresidence.
(c) Content of certificate. An employee
				  claiming City of New York nonresident status shall certify on a City of New
				  York Certificate of Nonresidence that such employee is not a resident of the
				  City of New York, and if an employee claiming City of New York nonresident
				  status earns wages for services performed partly within and partly without the
				  City of New York, such employee must indicate on such certificate of
				  nonresidence a reasonable estimate of the portion of total wages to be earned
				  during the taxable year which represents compensation for services performed
				  within the City of New York during such taxable year. The portion of wages
				  allocated to services performed within the City of New York must be determined
				  in accordance with the provisions of section
				  171.6 
				  of this Title.
(d) Certificate of
				  nonresidence not required. An employee (1) who is a nonresident of the City of
				  New York, and (2) who performs services partly within and partly without the
				  City of New York (other than the services described in section
				  171.6[b][2][i] 
				  of this Title), and (3) whose total wages for the taxable year from services
				  performed within the City of New York are not reasonably expected to exceed
				  $3,000 (or $3,000 prorated for taxable periods of less than one year), and (4)
				  whose address, as provided by such employee, on form IT-2104 (or on Federal
				  form W-4 if such form IT-2104 has not been provided), indicates that such
				  employee is presumably a nonresident of the City of New York, shall not be
				  required to file a City of New York Certificate of Nonresidence with such
				  employee's employer, and such employer need not deduct and withhold any amount
				  of City of New York earnings tax on nonresidents from such employee's
				  wages.
(e) The mere filing of a
				  City of New York Certificate of Nonresidence does not, however, relieve the
				  employer from the duty of withholding the proper amount of City of New York
				  earnings tax on nonresidents from wages paid to a nonresident employee for
				  services performed in the City of New York. The City of New York Certificate of
				  Nonresidence filed with an employer must be retained by such employer and must
				  be available for inspection by representatives of the Commissioner.