Is there a method to fix an issue where Kansas Resident worked mostly in MO, and a few days in KS. The box 16 for KS wages is lower than box 17 KS withholding.

[jbenson4]

I have verified with the employer and with the Kansas Taxing office that this scenario is valid, but unable to get past the review validation in turbotax.

[TomD8]

Your home state of Kansas can tax all your income, including what you earned in Missouri.

In addition, Missouri can tax the portion of your income that you earned by working in Missouri.

>>On your Kansas return, you will be able to claim an "other state credit" for the taxes paid to Missouri.

That credit will reduce your taxes due to Kansas.  The credit should be significant, given that you "worked mostly in MO."   Your KS withholdings may appear to be low, but your KS taxes due are also going to be reduced by the credit amount.

I suggest you enter your W-2 exactly as is.  In TurboTax, be sure to complete your non-resident MO tax return first, before you do your home state KS return, so that the program can correctly calculate and apply the credit.

[jbenson4]

So did all that, but TurboTax has a software issue and it's not making the correction.  Supposedly there was going to be a software update to fix, but was wondering if there was another way around this issue.  Here is the error I get from Turbotax:  "You cannot file electronically if you have a W-2 with state withholding greater than 50% of state wages."  I can't even file federal because of this error.

[TomD8]

Your state returns draw information from your federal return.

Be sure you completed your returns in this order:

1.  Federal

2.  Missouri

3.  Kansas

The amount on Line 1 of your Kansas K-40 should match your federal adjusted gross income (line 11 of your federal 1040).