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W-2 by JP Morgn federal wage $34K incorrectly split between VA (20K) and NY (34K)

Forum|Forum|3 years ago
April 6, 2023
3 replies
25 views

NY wage should be $14K, right? Young student client may not know how to get a corrected W-2. Is there a subtraction line on the NY return where I can deduct the Virginia wage? Otherwise, even with OSC credit in Virginia (where client resides), wouldn't he be paying twice on 20K?

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Best answer by Skylane

NY has an allocation worksheet for days worked out of NY. Generally speaking, it serves to transfer some of the NY state wages to the home state.

i used to use it for NY non resident employees who would have business trips outside NY (the intended use)

The worksheet is based on total working days, weekends, etc. You may be able to make it work…. Note that days worked from home are not permitted

edit: this would be strictly a workaround. Make sure your on firm ground and document the w2 is incorrect

sjrcpa

Level 15

NY says all wages go in the state box.

NY has provisions on the state tax return for allocating wages to NY

The more I know the more I don’t know.

Skylane

Answer

Intuit Community Champion

NY has an allocation worksheet for days worked out of NY. Generally speaking, it serves to transfer some of the NY state wages to the home state.

i used to use it for NY non resident employees who would have business trips outside NY (the intended use)

The worksheet is based on total working days, weekends, etc. You may be able to make it work…. Note that days worked from home are not permitted

edit: this would be strictly a workaround. Make sure your on firm ground and document the w2 is incorrect

If at first you don’t succeed…..find a workaround

qbteachmt

Level 15

It's not a split. You cannot add States together to get Fed. Every State has its own reporting and allocation method. The W2 people are nearly always doing it right.

Don't yell at us; we're volunteers

rbynaker

Level 13

Welcome to "why I stopped doing NY tax returns."

NY has a ridiculous form IT-203-B that you have to fill out to allocate the wages based on the number of days spent in-state. 'Cause everybody keeps track of that.

It gets even more fun if there's a bonus or employer stock grant that was partially earned while working in NY. That gets you an IT-203-F (which wasn't supported by ProSeries when I left). Because everybody knows exactly how many days in the last four years they worked in and out of NY.

sjrcpa

Level 15

You're right Rick.

In Greta's case i have a feeling it is a part year situation so might be relatively easy.

The more I know the more I don’t know.

rbynaker

Level 13

@sjrcpa wrote:

You're right Rick.

In Greta's case i have a feeling it is a part year situation so might be relatively easy.

I've been known to take the difference between Fed & VA and call it NY. If NY wants the IT-203-B they'll ask for it, right? 🙂

Sometimes you can get the data from a friendly HR department. But at this point I think most of them have been replaced by robot portals.

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