Tax season begins Friday. COVID-19 has created complications for filers

CPA David Gibbs told News 12 that with more people than ever working from home, some taxpayers find themselves working in Connecticut for companies in New York.

News 12 Staff

Feb 13, 2021, 4:41 AM

Updated 1,259 days ago

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Friday is the first day residents can file federal and state taxes after a year complicated by the COVID-19 pandemic.
CPA David Gibbs told News 12 that with more people than ever working from home, some taxpayers find themselves working in Connecticut for companies in New York.
"These are things that lots of our clients are asking us about what the current guidance is,” he says.
If your employer is in New York, Gibbs says then that's where your taxes are probably paid. But you will still need to file a Connecticut return.
"There is a line on the return that allows me to take a credit for taxes paid to New York in that situation, so I'm not doubly taxed on that income,” he says.
If you have spent money improving your home office, you might be hoping for a work-related deduction. But Gibbs says unless you own your own business, you're probably out of luck.
"It's unlikely that that taxpayer, that employee, is going to get any tax benefits as a result of doing anything to accommodate their home for their ability to work from home,” says Gibbs.
He expects many more questions in the coming months, especially since the tax deadline isn’t being moved like it was last year to July. He also advised residents not to wait until the last minute to file.


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