NY state tax when living in NY and working 100% remotely for a company in WA

Question

I got taxed for NY state(when residing in NY state) and working for a IT company in WA state(WA is my work state).

Notes:

1. I lived in NY for less than 184 days.

• 1 Jan 2020 - 15 March 2020 - India - 75 days
• 16 March 2020 - 15 Aug 2020 - New York - 153 days
• 16 August 2020 - 31 Dec 2020 - Washington - 138 days

As per https://www.tax.ny.gov/pit/file/pit_definitions.htm#nonresident, I do not qualify as a resident and hence can be considered as non-resident for tax purposes.

You are a New York State resident for income tax purposes if:

1. your domicile is New York State (see Exception below); or
2. you maintain a permanent place of abode in New York State for substantially all of the taxable year and spend 184 days or more in New York State during the taxable year, whether or not you are domiciled in New York State for any portion of the taxable year. Note: Any part of a day is a day for this purpose.

As per https://www.tax.ny.gov/pdf/current_forms/it/it203i.pdf#page=7

If you were a nonresident of New York State, you are subject to New York State tax on income derived from New York State sources.

On the same page

Nonresidents - NY sources of income:

services performed in New York State;

I am not entirely sure if work I have performed can be considered as services performed in NY state as I was working virtually for Washington state (my work state). W-2 mentions the same that my employer is from WA.

Can I claim refund for all the taxed withheld by employer for NY state tax?

Answer 1

You were physically in New York when you performed your work, therefore the services were performed in New York, and the pay from that work is considered to come from a New York source. Therefore, you are subject to New York tax on that income.