Tax Year Prior to 2020: Received a letter from IRS asking to submit W-2. Why would they be asking for this?

Line 40 is Federal income tax withheld from Forms W-2 and 1099.

The IRS has a form W-2 filed by your employer on which the amount of federal withheld (in box 2 of form W-2) is different from what you have entered. Please check your form W-2 and verify if box 2 has been correctly entered in TurboTax.

Why would the state be asking for w2 

Should I amend it 

Do not amend anything until you hear back from the IRS and your state. It appears both the IRS and your state are looking to verify some information. Please make sure you respond to the IRS and your state and send in whatever documentation they are asking for since your refund will be held up until you do so.