Lived/remotely worked in MI for an employer in PA. Received two W2s (one TOTAL STATE). Is this correct?

[txq11]

I lived in MI, and worked remotely for an employer in PA. 

I received two W2s:

-1st W2 (PAGE 1/2):

-> Copy C Employee Reference & Federal Filing copy: TOTAL STATE / Box 16:Empty / Box 17-20: Filled

-> Copy 2 MI State Reference & State Filing copy: Box 15: MI / Box 16-17: Filled / Box 18-20: Empty

-2nd W2 (PAGE 2/2):

-> Copy 2 PA State Reference & Filing copy: Box 15: PA / Box 18-20: Empty

->  Copy 2 City of Local Reference Copy: Box 15: PA / Box 16-20: Filled

1-Some boxes are filled on one W2 but some are not so I'm confused.. What copy/copies of each of these W2 do I use to use to file my taxes?

2-Why is there a copy for City or Local Filing for PA? I thought PA employers don’t withhold PA tax for employees working from home outside the state (non-resident), but on my copy, I can see PA state and local income taxes are withheld. If this is incorrect, do I need to request for an amended W2?

[MarilynG1]

If your first W-2 has your total wages in Box 1, then you could break out your Michigan and Pennsylvania wages appropriately in Boxes 15-20.   You can do this in one W-2 entry in TurboTax by incorporating info from both W-2's in two separate lines in the State section. 

First line will have Box 15 State ID (MI or PA), State Employer ID (if none showing, use Federal ID), Box 16 will have State Wages (for either MI or PA), and Box 17, State Tax (either MI or PA).  

If you have amounts in Boxes 18-20 for either MI or PA, you paid Local Tax and may have to file a Local Tax Return, some of which you can do in TurboTax.  If you end up mailing a Local Tax Return, you can attach the 'Local Copy' of your W-2.

Prepare your Non-Resident return for PA first, then your Michigan Resident Return.  Here's How to File a Non-Resident State Return.

Hope this helps! 

[txq11]

Thank you for the reply! So as a MI resident who worked remotely for company based in PA, having PA city & local taxes withheld is correct?

[Cynthiad66]

Yes, it is correct.  Also, Marilynjoy gave great instructions on how to prepare and file returns.  Very  important to prepare the PA return first, then your home state return.  It works out and taxes paid in PA will be properly credited to MI.

@txq11