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Level 3
March 11, 2023
Question

When allocating multi state wages, will it trigger an audit if the W-2 is listing a 100% of wages to one state (OH) but in reality, it was 20% to KY and 80% Ohio. Can I use the W-2 entry screen to allocate it even if it is different from the W-2?

  • March 11, 2023
  • 2 replies
  • 9 views
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2 replies

Level 6
March 11, 2023

Maybe not an audit, but likely a notice from Ohio I would think. 

If the W-2 is wrong I would tell the client to request a corrected one.  

itonewbie
Level 15
March 11, 2023

Because the taxpayer moved between KY and OH?  If so, it surely sounds like your client didn't notify the employer of the move.  Best to have employer issue a W-2C.  It's too late to do anything with SIT, so, your client will owe on the new state.

---------------------------------------------------------------------------------Still an AllStar