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kwferri
New Member

Railroad Federal Tax Withholdings

I am filling out my Railroad W2 and have an issue. Based on Box 1, my federal withholdings should be X. However, they are Y in Box 2. I have a nonzero item in Box 12DD, which according to the back of my W2 is nontaxable. If I take Box 1 - Box 12DD, this is almost perfectly Y (the number in Box 2). When I input this in TurboTax, it's trying to say I owe the difference between X and Y because I underpaid my federal taxes. How do I correctly account for this? Do I adjust Box 1 such that it's Current Box 1 - Box 12DD? I don't think I owe this X-Y amount. Thanks in advance!

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1 Reply
rjs
Level 15
Level 15

Railroad Federal Tax Withholdings

You can't change the amounts on your W-2. Box 1 is your actual gross pay. Box 2 is the amount of tax that was actually withheld, right or wrong. You cannot calculate box 2 from box 1. Code DD in box 12 has nothing to do with your income or withholding. It's the total cost of your health insurance, and it's just for your information. It's just chance that box 1 minus the DD amount is approximately equal to box 2. You have to enter your W-2 as it is and pay the additional tax that you owe.

 

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