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Non resident multi state return

sofrustrated
Level 1

I have a client who is full year resident of WA, no state tax.  He has (4) W-2s, one from WA and three from other states with state tax.  Two of the states took sales tax that the returns are showing to be refunded as they should.  The third state, OR, took no state sales tax from his wages and I have marked the program that he is a non-resident of OR.  Despite that no matter how I enter his W-2's or how I source the income, etc, that Oregon return is indicating he owes sales tax with a penalty when it should not be.  I am also quite confused by the instructions for entering the multi-state W-2's following the instructions to keep coming up with the same result.  Can somebody please tell me what I am doing wrong and walk me thru the inputting of the information to get the correct result.  He should not be owing any OR state taxes as a non-resident I have been told by several sources.  Are they wrong, am I wrong?  HELP!!

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3 Comments 3
George4Tacks
Level 15

Use US for the resident state and all WA income record as US. 

Sales tax?

https://accountants.intuit.com/support/en-us/help-article/form-w-2/entering-w-2-wages-withholdings-m...

It is entirely possible that with OR wages, there would be some OR taxes due. You could call support if you need help. This is a forum where you are asking other users. Support may want to look at your input and figure out where this sales tax issue is stemming from.

 


Here's wishing you many Happy Returns
Terry53029
Level 14
Level 14

I believe you are talking about state income tax, as sales tax are not withheld from a W2. If your client has a W2 from OR. with no income tax withheld why do you think he owes no tax to OR. No matter where you live if you work in another state with a state income tax you have to pay state tax on those wages

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sofrustrated
Level 1

Terry53029, yes I was.  That was a typo on my part.  The confusion about it is actually on the part of the employer.  They have told the employee that he does not have to pay the state income tax so is not deducting it from their wages.  I’ve informed my client his employer is wrong and he’ll need to pay quarterlies.  Thank you for your response.

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