Ruth1
Level 4
‎02-26-2020 12:41 PM

We have a W2 with Box 1 wages $100,000. The state wages are also $100,000 but there are two state listed BOTH listed income at $100,000 in Box 16. The withholding are commensurate with the days worked in each state.   How to input this so that each state does not show 100K as income? 

Our concern is if we split the 100K between the states based on days worked or witholding we will have a mountain of IRS notices and if we allocate the 100K to only one state, the other state will be looking for their pound of flesh. 

Thank you.

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PhoebeRoberts
Level 11
Level 11
‎02-26-2020 01:13 PM

Which states? Every state likes it done a little differently.

Ruth1
Level 4
‎02-26-2020 01:14 PM

MA and NY. We have another one MA and RI

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PhoebeRoberts
Level 11
Level 11
‎02-26-2020 02:52 PM

All of those states have forms instructions that explain why those W-2s look that way, and how you handle the returns to minimize double taxation.

Full-year MA resident: The W-2 is correct. All wages are taxable to MA, Other State Tax Credit permitted on Line 30.

NY Nonresident: The W-2 is correct. Use Schedule A of Form IT-203-B and Screen 55.092 of Lacerte to determine how much is taxable to NY. 

RI Nonresident: The W-2 is correct. Use Part 2 of Schedule II in the RI-1040NR booklet. Lacerte unfortunately appears to only support Part 1 of Schedule II, and all of the related Help links (https://proconnect.intuit.com/community/help-articles/help/rhode-island-part-year-nonresident-freque...) are dead so I don't know if there's a suggested kludgy workaround. Sorry!

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Ruth1
Level 4
‎02-26-2020 03:38 PM

Thank you very much. Appreciate it. 

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