Form IT-2104.1: New York Certificate of Nonresidence and Allocation of Withholding Tax

Form IT-2104.1 is a certificate that New York State employees give to their employer to establish that they are not residents of New York State, New York City, or Yonkers, or that only part of their wages should be subject to withholding for those jurisdictions. The New York State Department of Taxation and Finance issues this form specifically to handle situations where an employee lives outside New York but performs at least some work inside the state, or where residency status affects how much local tax should come out of each paycheck.

Unlike the standard withholding elections most workers fill out once at hire, IT-2104.1 is narrower in purpose. It exists because New York State, New York City, and Yonkers each apply their own resident and nonresident tax rules, and an employer needs documented proof before they can stop withholding city or Yonkers tax, or before they can prorate state withholding based on days worked in and out of New York.

Who Needs to File This Form

You generally need Form IT-2104.1 if any of these situations apply to you:

• You live outside New York State but your employer is located in New York and you occasionally or regularly perform duties there.
• You are a New York State resident but not a resident of New York City or Yonkers, and your employer withholds local tax by mistake or by default.
• Your work involves travel between states, so only a portion of your income is actually New York-source income subject to withholding.
• You need to allocate wages between resident and nonresident periods because you moved into or out of New York during the year.

Employers use the information on this form to adjust payroll withholding going forward. It does not change your final tax liability, which gets settled when you file your annual New York State income tax return, but it prevents over-withholding throughout the year, which matters if cash flow is a concern.

When to Submit Form IT-2104.1

There is no fixed annual deadline tied to the tax filing season. Instead, you submit this certificate to your employer whenever your residency or work-location situation changes in a way that affects withholding. Common triggers include starting a new job with a New York employer while living elsewhere, moving out of New York City or Yonkers but continuing to work for the same company, or beginning a work arrangement that involves regular travel outside the state.

Your employer keeps the completed form on file. They do not send it to the Department of Taxation and Finance unless requested during an audit or review. If your circumstances change again later, such as moving back into New York City, you should complete an updated form so your employer can adjust withholding accordingly.

How to Complete and Submit the Form

The current version, revised 12/24, is available directly from the New York State Department of Taxation and Finance as a fillable PDF, meaning you can type your information directly into the document before printing it for signature. You will need basic identifying information, your residency status for New York State, New York City, and Yonkers, and if applicable, a breakdown of how many days you worked inside versus outside New York during the relevant period.

Once completed and signed, give the form to your employer’s payroll or human resources department rather than mailing it to the state. Keep a copy for your own records in case questions come up later when you file your state return or if you need to reference the allocation percentages you provided.

If you are also dealing with estimated tax questions as a nonresident with New York-source income, it may help to look at how allocations work in related contexts, such as the guidance covered in Form IT-205-T for allocating estimated tax payments, which deals with a similar allocation concept for trust and estate beneficiaries. And if your employer situation involves other electronic tax processes, reviewing how forms like the EFT Authorization Agreement function elsewhere can give useful context on how state tax agencies handle payment and withholding paperwork generally.