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Reciprocity wages I am confused as all hell My dad lives in Michigan and works in Ohio but it is telling me to enter the compensation amount and I have no idea how much.

if you earned w-2 compensation in Ohio and had Ohio state income tax withheld, enter the compensation amounts earned in Ohio during the portion of the year that you were a resident of Michigan. My dad works in Ohio and lives in Michigan Yet Ohio state income tax is being withheld local income tax is being withheld and somehow we owe them 90 dollars it makes no sense. We should not even be taxed for all that since we are residents of Michigan. Please someone help me out!
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1 Reply
Hal_Al
Level 15

Reciprocity wages I am confused as all hell My dad lives in Michigan and works in Ohio but it is telling me to enter the compensation amount and I have no idea how much.

You are only filing an OH return to get the state withholding refunded.

At the Screen titled "Here's the income that Ohio handles differently", click Start at

-Miscellaneous

  -Wages of residents of neighboring states

 

On the next screen, titled "Reciprocity Wages", enter the amount from box 16 of your W-2 (from the line with OH in box 15), in the box titled "Compensation earned in Ohio"

 

Ask your employer to stop withhold Ohio STATE tax, so you don't have to do this every year.

 

Be advised, that the reciprocity agreement does not apply to local city taxes. You are not required to file a local city return, but you are also not entitled to a refund of the city withholding (box19 on your W-2), unless there was an error in the amount. 

Michigan will give you credit, on the MI state return for OH city tax withheld, but you have to attach a copy of the city return. So, even though the Ohio city does not require you to file a return, you have to file one to get the MI credit, even though there will be no tax due or refunded from the Ohio city. 

 

 

 

 

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