Get your taxes done using TurboTax

Hi @MarilynG1 ,

 

Unfortunately that advice from the article you linked to for "I received a W-2 with $0 in Box 1" is incomplete.  If your W-2 has an entry for code II "Medicaid waiver payments excluded from gross income" in box 12 then it's likely (e.g. here in California) that it's the same figure as in box 3.  And copying box 3 to an otherwise empty box 1 will cause TurboTax to duplicate that figure in it's calculations.  You can clearly see this happen in the Forms view on Form 1040 and Schedule 1...

 

IMHO that portion of the article needs to be updated to correctly handle the case of "$0 in Box 1" and "not $0 for Code II in Box 12".  Or maybe that entire "copy from box 3 to box 1" advice needs to be scrapped completely?  There should be no reason for TurboTax users to implement such a kludge and it seems that the TurboTax programmers have finally fixed it (likely drive by IRS requirements to now include Medicare waiver payments in W-2 box 12).

 

I can't speak to the case of "$0 in Box 1" and also "$0 for Code II in Box 12" as that's not the case for my IHSS W-2 and I haven't bothered trying to figure out what calculations TurboTax performs in this case.

 

(Amazing that this thread has now passed the 5 year mark...  If they can just get that article correctly updated then maybe this thread can finally be locked!)