topic New Jersey Tax Withholding wrong in the state return in State tax filing

New Jersey Tax Withholding wrong in the state return

huahan82 — Tue, 24 Feb 2026 07:06:55 GMT

It is for 2022 tax return. Looking further the difference between the calculated tax withholding with the number from W2 comes from additional tax withholding. Even I already cleared the entry and "start over" the state tax, the number cannot be changed. How can I get the field updated on the tax form?

Re: New Jersey Tax Withholding wrong in the state return

fanfare — Mon, 21 Aug 2023 01:37:09 GMT

besides your problem with payment with extension,

your withholding is wrong also ?

@huahan82

Re: New Jersey Tax Withholding wrong in the state return

xmasbaby0 — Mon, 21 Aug 2023 01:54:27 GMT

Why do you think your state withholding is wrong? State tax withheld is shown in box 17 of your W-2. What do you think is wrong with box 17? When you enter your W-2 into the federal software, the information flows to the state software. What "additional tax withholding" are you talking about?

Re: New Jersey Tax Withholding wrong in the state return

huahan82 — Mon, 21 Aug 2023 13:41:36 GMT

Yes and it is impossible to make changes as my entry won't be reflected in the final form.

Re: New Jersey Tax Withholding wrong in the state return

huahan82 — Mon, 21 Aug 2023 13:44:34 GMT

Agreed with the state tax holding is box 17 of W-2. The additional tax withholding come from an entry that can be done in Turbotax for "payment when filing tax extension". It has been used in Turbotax for calcualting the tax withholding. Once the entry is set, it won't change anymore. Therefore the tax withholding the box 17 + the initial entry for "payment when filing tax extension" and cannot be modified even the "payment when filing tax extension" was modified.

Re: New Jersey Tax Withholding wrong in the state return

DoninGA — Mon, 21 Aug 2023 14:35:33 GMT

@huahan82 I created a test tax return using the TurboTax Free online edition. Used New Jersey as my resident state and entered a W-2 with NJ income and NJ state taxes withheld of $2,000. Entered in the Deductions & Credits section of the federal return a state of NJ extension payment of $1,000. Completed the federal tax return and passed Federal Review. Started the NJ state return and on the screen Here's What We Know So Far the New Jersey Tax Withholding was show correctly as $2,000 and the Estimated and Other Payments was shown correctly as $1,000. Completed the state tax return through State Review.

Then went back to the federal Deductions & Credits section changing the state of NJ extension payment to $500. Went through the federal return and passed Federal Review. Then Edited the NJ state tax return. Selected Go over New Jersey again. The following screen Here's What We Know So Far correctly shows the NJ withholding as $2,000 and the Estimated and Other Payments was shown correctly as $500.

So, I am not seeing a problem with changing the state extension payment and not having it correctly indicated in the state tax return section of the program.

If you cannot get the correct state extension payment to show on your NJ state tax return and you have deleted and re-entered the state program, the only suggestion would be to clear your tax return and start over.

If you have not paid for the online edition you are using, have not filed your tax return or registered the Free edition, then you can clear your return and start over with a lower priced edition. Click on Tax Tools on the left side of the program screen while working on the 2022 online tax return. Click on Clear & Start Over.