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Deductions & credits
No,
since the income is exempt from Federal Income tax, you would not deduct the overtime.
The "fix" is that after you enter your W-2 and select "Medicare/ Difficulty of Care Payments" continue to the screen that asks "Were you an exempt employee?" and select "I was an exempt employee".
The program will not calculate a deduction for your overtime since your income is already exempt from Federal Income Tax. (You are an exempt employee)
Although the income is exempt from Federal Income Tax, you still enter the W-2 as the income may increase your earned Income Credit if you are eligible.
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2 weeks ago