New York state has a progressive income tax system with rates ranging from 4% to 10.9% depending on a taxpayer's income level and filing status. Living in New York City adds more of a strain on your paycheck than living in the rest of the state, as the Big Apple imposes its own local income tax on top of the state one.
The majority of employees of the City of New York are required to have taxes withheld. However, certain situations exist that entitle an employee to be fully tax exempt.
First, payroll is primarily based on the rules of the state where the work is performed. If an employee lives out of state but comes to work in person, payroll withholding generally follows the rules of where your business is located.
Overview of New York Taxes Gross Paycheck$3,146 Federal Income 11.19% $352 State Income 4.70% $148 Local Income 3.28% $103 FICA and State Insurance Taxes 7.80% $24623 more rows