“My accountant indicates the $14,000 is taxable income in NJ? “---->Correct; contributions made to a IRA including SIMPLE-IRA contributions are not tax deductible for New Jersey income tax purposes. Your SIMPLE-IRA contributions in Alaska have not even been taxed (as Alaska has no stte income tax). However,you, as an employee, can deduct your contributions to the plan up to $11,500 ($14,000 for participants age 50 or older) on your federal return per tax year.
“This is not a distribution, but reduced my taxable incoming by the same amount. “---->Your contributions to the plan increase your state gross9 taxable) income, not your federal gross( taxable) income
“Anyway to avoid NJ tax on this?”----> I guess, no. |