New York Convenience-of-the-Employer Rule

Quick answer

For certain nonresident employees whose assigned or primary office is in New York, days worked outside New York can still be treated as New York workdays when the work is performed for the employee's convenience rather than because the employer requires it. The rule concerns employee wage sourcing. It is not a universal remote-work rule for freelancers or business owners.

What can change the answer?

• State of residence.
• Employer.
• Assigned or primary office.
• Physical work locations.
• Whether remote work was required by the employer.
• Bona fide employer-office facts.
• Workday calendar.
• Nature of the employment arrangement.

Related NYC tax questions

• New York Remote-Work Tax
• Living in New Jersey and Working in New York

Official source

• New York State Department of Taxation and Finance — TSB-M-06(5)I, Application of the Convenience of the Employer Test to Telecommuters and Others
• New York State Department of Taxation and Finance — Frequently asked questions about filing requirements, residency, and telecommuting

The rule being applied

Under the New York convenience-of-the-employer rule, days a nonresident employee assigned to a New York office works outside New York are treated as New York workdays unless the work is performed outside New York because of the employer's necessity rather than the employee's convenience. The rule governs employee wage sourcing only.

Jurisdiction: New York State · Current structural wage-sourcing rule; 2026 review.