>I'm not surprised NY would claim that. Many years ago I lived in New Jersey and New York tried to tax people who lived in NJ, but worked in NY as residents.
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>>http://sports.espn.go.com/mlb/news/story?id=3113901
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>>Jeez, seems that lately everyone is talking about the NY government....

AFAIK, most state taxes are based upon where the income is earned rather than residency. When I lived in New Jersey and worked in New York I paid taxes in both states and considered it normal. The NJ taxes were reduced by the amount I had paid to NY - and therefore were zero.

When my legal residence was Iowa and I was working in Texas, IA did not claim I owed state income tax to them.

CA appears to be different. CA residents pay tax on all income regardless of where it was earned. At least, when I was living in CA and was working in Nevada, they had to deduct CA taxes. Since that was earlier this year, I'll find out the reality when I file in a couple of months.

I seem to recall a case several months (or more) ago where New York tried to collect tax on someone who telecommuted from another state. I don't know the eventual outcome of that.