You are giving instructions for the Federal Tax Returns (which Difficulty of Care payments are already excluded). But how do you exclude at the State level when there is an amount in box 1 on the W2?
This is what I did:
I am amending previous tax returns as well. There is income amount at the state level which is why I wound up overpaying in taxes before NJ clarified it this year. I left everything as is and went to the "Other Wage Adjustments - W-2" and entered Difficulty of Care Payments and excluded the amount that was also excluded at the Federal W2. It subtracted the amount and now I am expecting the tax I paid plus a refund. I want to make sure that I did this correctly. I appreciate it if you can confirm this.
Also, When sending my Amended forms, should I include the Federal? There are no changes on the Federal but the Federal does show the amounts that were excluded clearly.
Also, Should I include anything with the amended return? I'm assuming not because no changes were made to the W2, I just excluded the amount as Difficulty of Care.
- Thank-You
