topic Re: W2 box 14 ESPDD in Get your taxes done using TurboTax

W2 box 14 ESPDD

onemoment — Thu, 06 May 2021 22:17:58 GMT

Hello,

I am ready to file the turbo tax. but got an error saying the VPDI is greater than $1229. On the w2, box 14, there are two numbers:

1) SDI: I choose the CA SDI tax code

2) ESPDD: I could not find the matching code.

so what do I do with the ESPDD amount on box 14? should I choose no entry to the code? or remove the amount?

thanks

Re: W2 box 14 ESPDD

BillM223 — Thu, 06 May 2021 22:47:31 GMT

What are the dollar amounts for the SDI and ESPDD codes in Box 14?

Re: W2 box 14 ESPDD

onemoment — Thu, 06 May 2021 22:56:16 GMT

$1229.09 for SDI and 1322.31 for ESPDD. I removed the decimal number, still not accepting until I gave a code.

Re: W2 box 14 ESPDD

BillM223 — Thu, 06 May 2021 23:17:24 GMT

I am sorry, I should have asked, "what state"? Is it California or another one?

"still not accepting until I gave a code."

So it works now? You are entering 1229 SDI "CA SDI" and 1322 ESDD "Other" - right?

Re: W2 box 14 ESPDD

onemoment — Thu, 06 May 2021 23:24:19 GMT

Yes, this is for california.

Initially, it was SDI for both, so error out.

So for ESPDD, I can just go with other code?

Re: W2 box 14 ESPDD

BillM223 — Thu, 06 May 2021 23:32:17 GMT

Yes.

I will quote an answer from one of our Champs on a similar issue (in the other case, it was DQD-ESPP, but I bet this is the same issue since the employer gets to make up the code):

"Since this is appearing on a W2 it almost certainly can be read as "Disqualify Disposition" which most likely pertains to either stock acquired via an ESPP or an ISO. The number next to that notation would then indicate the amount of "compensation" - included in Box 1 - that was generated by the disqualifying disposition. This compensation figure should be added to your out of pocket basis when reporting the stock sale."

Remember that last line, because all too often, when you finally sell the stock, the basis reported by the broker does not include the amount that you paid tax on with this W-2.