I am filing for a refund from Virginia using VA Form 763, Nonresident Income Tax Return (my residence is Tennessee).
My W-2 grossly overstated my Virginia income (by orders of magnitude), and my employer withheld way too much for Virginia personal income tax. The withholding is now corrected, but the W-2 nonetheless way overstates my actual Virginia income.
Should I get my employer to correct my W-2 before filing with Virginia for a refund? Will the incorrect W-2 amount for Virginia income raise a red flag when my Form 763 shows only a fraction of that?
Many thanks for your thoughts.