Get your taxes done using TurboTax

We will be editing the article again. Thank you for bringing this to our attention. Users had been able to e-file with zero in Box 1 in some situations.

When you have a zero in Box 1, and entries in Boxes 3 and 5, and you want to use the wages to qualify for EITC, then instead of entering the wages in the W-2 section, you can enter just the IHSS Medicaid Waiver income that appears in Box 12 of your W-2 as follows:

In TurboTax Online:

1. Go to Wages & Income
2. Select Miscellaneous Income
3. Start or Revisit Other income not already reported on a Form W-2 or Form 1099
4. Answer Yes to Did you receive any other wages
5. Forward until you see the screen about Medicaid Waiver Payment Not Reported on Form W-2
6. Enter the amount in this screen (see screenshot below)

In Desktop versions:

1. Go to Wages & Income
2. Select Start or Update next to Miscellaneous Income
3. Select Start or Update next to Other income not already reported on a Form W-2 or Form 1099
4. Answer Yes to Did you receive any other wages 
5. Forward until you see the screen about Medicaid Waiver Payments Not Reported on Form W-2
6. Enter the amount in this screen (see screenshot below)