Hi @ErnieS0 and for anyone else facing a similar situation....
Thank you for the advice on how to try to get Turbo tax to efile with zero (0) allocated NY source income. I actually did get my employer to issue a corrected w2 that lists $0 for state wages.
However, even with that w2 set to $0 state wages, and setting NY income to $0 in the allocation worksheet, TT says NY will automatically reject it a $ owed 0 NY return. So even when all signs point to the correct answer (no NY tax owed) I have to paper file. Who knows what hell awaits after that.
