The Court of Appeals of New York has held that a computer programmer who was an employee of a New York company and worked from his home in Tennessee 75% of the time was delinquent in paying his New York state income tax by allocating only 25% of his income in calculating the amounts due. The court upheld the constitutionality of the “convenience of the employer” test, which provides that when a nonresident is employed by a New York employer, income derived from work in another state is taxable by New York unless performed out of state for the necessity of the employer.
Huckaby v. New York State Div. of Tax Appeals, 2005 WL 705977 (Ct.App. N.Y. March 29, 2005).