Do not enter your W-2. If your W-2 has federal or state taxes withheld, you can enter these amounts in the Deductions & Credits section under Other Income Taxes as Withholding not already entered on W-2.

Here are the entry instructions:

1. In TurboTax, under the Deductions & Credits tab, select I'll choose what I work on.
2. Scroll down to Estimates and Other Taxes Paid, Other income Taxes and Start.
3. On the Other income taxes screen, scroll down to Withholding not already entered on a W-2 or 1099 and Start.
4. On the Other Withholding Not Already Entered screen, enter the state and the amount withheld and Continue.

For more information, see IRS Notice 2014–7, 20144 I.R.B. 445 and IRS FAQs.