No. The error comes up because the W-2 box 12 amount exceeds the deferral limit's. It is correct for TurboTax to flag that as a error (which it is) to alert the taxpayer to a possible data entry error that they can correct, but it should not prevent e-fileing if there was no data input error and there really is an excess on the W-2. (The worksheet is just where TurboTax stores the W-2 data.)
(W-2's do not get physically sent to the IRS, just the encrypted data from the W-2 gets transmitted to the IRS and most of that data comes from the worksheet. The TurboTax W-2 "form" that you fill out in the interview is not a W-2 form, just a TurboTax mock up of the form as a data entry screen. Changing the worksheet will probably also change the data sent to the IRS and most likely will cause a data mismatch between what you file and what the employer filed. Worksheet themselves are not sent to the IRS, but the data that they contain can be.)
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
