We did start the filing process for a non-resident return. The issue is that her W2 reflects 8 months of Oregon income tax withholding versus the 3 months she physically worked in Oregon. That isn't something we can change.
This whole issue is due to her employer not adjusting her work status for 8 months after sending her to work from home. We've contacted her employer and they will not submit an amended W2, and advised we'd have to open a dispute with the state of Oregon. Seems like quite a few steps for something that was actually the employer's fault. Seeing as this is a rather large employer, I can only imagine how many people have found themselves in the same situation.
I personally know people (such as contractors) who work in both Oregon and Washington are able to deduct the hours worked in Washington and only pay income tax on the hours worked in Oregon. However, I see know way of doing that in turbo tax's software.
