CatinaT1
Expert Alumni

Get your taxes done using TurboTax

Yes, this is correct. They are showing the amount of income he earned in Delaware while he physically worked in Delaware. This is the Delaware source income amount that Delaware will tax. The money he earned while living in Texas is Texas source income and that is not taxed because Texas has no state tax.

 

Box 1 of W2 = Wages taxed Federally

Box 16 of W2 = Wages earned while physically working in the state and amount taxed by the state

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