Amending Federal & State Tax Returns after filing

[pk752rf]

I filed my taxes using Turobtax CD in early February with a corrected W-2 because my company forgot to check the Box14 for Retirement plan even though we are enrolled in 401K plan. Then I received a W-2C form at the end of March from my company that said the Wages amount in Box 16 for State Income does not match the Wages amount in Box 1 for Federal Income. The Wages in Box 16 is about $93 less than what is in Box1. Also the amount of State tax withheld did not change and it matches my last paycheck for 2019. Also they said they are not sending a corrected W-2 again when I asked them. They said I might have to file an Amended Return.

   I checked both Federal and my State North Carolina tax forms for Amended return and none of the reasons for filing amended return match my case and also my state tax return uses Federal Adjusted Gross Income from 1040 Form as a starting point for the income and then you add or remove state deductions to see how much you owe to the state. When I tried the Turbotax Amended Tax Return it was confused too as the numbers are still the same as my current filed tax return.

  So do I need to file an Amended Tax Return for both Federal and State returns or just for the State or None at all?

Thanks

[JohnB5677]

From what I understand you received two corrected W-2's. 

The first one only changed because of a comment in Box 14.  Box 14 is an information box and will have no affect on your tax return.  So if that is all that changed, you do not have to do anything to either Federal or State.

The second change decreased your state income by $93.  This would result in a reduction in tax of about $5.  Because the tax is lower, the state will not bother you.  However,  If you want to get the extra money you will have to file an amended state return

[pk752rf]

Hi JohnB5677,

        Thanks for replying promptly.

Sorry if I was not clear before the correction in the W-2C form increases the State wages by $92.64 in Box 16 when compared to  State Wages from Box16 from the previous corrected W-2. After the change the amounts in both Box1 and Box16 match.

When I checked NC State return instructions they are using Federal Adjusted Gross Income and not the State Wages reported to calculate the State tax owed.

  So based on your recommendation I need to file an Amended State Tax Return and no need to file Amended Federal Tax Return as Wages in Box 1 did not change.

Thanks

[AmyC · Accepted solution]

You do not need to file an amended return as NC uses the federal amount, which did not change.

[pk752rf]

Thanks Amy.

Yes I thought I don't have to file any Amended Federal or State Returns as nothing significant changed.

I tried the Amended Return in Turbotax and it said the same thing and it also got confused as the normal reasons to file an Amended Return are not applicable in my case.

Thanks