tnashmed
New Member

The NC state software is calculating W2 wages incorrectly.

The W2 has a MI income number and a NC income number, The MI income amount is included in the NC income amount. The software adds both numbers to determine the NC W2 wages which is double counting a portion of the W2 wages.  How do I correct this double counting?

BillM223
Expert Alumni

State tax filing

Help me understand what you have on your W-2.

 

Let's say that your MI income is $100, and your real NC income is $100. You are saying that the state income being reported at the bottom is MI $100 and $200?

 

And is NC showing $300 or $200 on its form?

 

Also, of which state are you a resident? Or did you move from one to the other? 

 

Remember that we in the Community cannot see your private tax data, so help us help you.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
tnashmed
New Member

State tax filing

The W2 shows MI income, Say $100 and NC income, Say $1000, which includes the $100 reported as MI.  The software adds the two numbers and shows taxable NC income as $1100.  There by double taxing the MI $100.

LenaH
Employee Tax Expert

State tax filing

Box 16 entries for MI and NC must match Box 1 wages in TurboTax. 

 

If your MI and NC income combined are greater than your Box 1 wages, then you need a corrected W-2 because then it is clear that your state income was overstated. Generally, employers would not spilt wages on a W-2 and include partial income for one state (MI) and the entire income for another (NC). 

 

If they equal what is shown in Box 1, then those might be accurate numbers. If you are certain that Box 1 and Box 16 numbers are both wrong, then you should contact your employer and get a corrected W-2.

 

If this was simply an allocation issue, then it could be addressed on your multi-state return, but if your actual W-2 is incorrect, then you would need to have a correction made. 

 

@tnashmed

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"