State tax filing

What you should probably do for the future, to allow simpler e-filing.

Stop most of, or all of that state withholding (or limit to somewhere less than ~20% of box 16 $$).

Then, instead, make separate quarterly estimated tax payments to the state to make up the difference.

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We've seen this in the past, where a state tax return cannot be e-filed if the box 17 state withholding is greater than some limited-% of the box 16 value.   Recall that it may vary from 25% to perhaps 50% depending on the state....but my memory is a bit hazy on that.  (Not even sure if 20% would be allowed).....nor have I seen any documents establishing what the cutoff limit actually might be for one or all states.

 

Yeah, you have to remember to make those separate quarterly estimated payments yourself, before-or-on-time each quarter, but right now it's the only way to avoid that particular state e-file blockage issue.

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Could be a Fed e-file limit for box 2 Fed withholding being over some % of box 1 too???

 

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*