You will be required to pay self-employment tax in addition to normal income taxes. You can enter the income under the Miscellaneous Income heading or under Wages & Salary and prepare Form 4852. Note: If you use a substitute W-2, you cannot efile your federal return - you will have to mail it in.
Please follow this link for more information: https://www.irs.gov/Individuals/International-Taxpayers/How-to-Report-Wage-Income-Paid-by-Foreign-Go...
You may want to contact the IRS for more specific instructions on completing your return.
Here's how to fill out Form 4852:
1. Visit the W-2 area of TurboTax and choose "Work on my W-2 now."
2. Enter the employer ID Number (EIN) if you know it. Leave it blank if you don't.
3. When we ask for your W-2 info, enter all the info that should be on your W-2 if you had actually received it. You can use your pay stubs to estimate your earnings and total taxes paid (federal, state and local). Because you don't have your actual W-2, you just need to use the best information you have available (pay stubs, bank statements, etc.) to fill out as much of the Form as possible.
4. After you're done filling out your W-2 info, you will get to "Do any of these uncommon situations apply to this W-2?" Select the checkbox "Substitute form -- I didn't receive a W-2 from my employer and need to complete a substitute form."
5. Then we will ask you to confirm you want to complete form 4852. Select Yes if you are ready.
6. Next write out an explanation of how you figured out your wages and taxes paid (i.e. I used my last pay stub or my most recent bank statement).
