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kneuf2000
New Member

Box 16 on W-2

I work in Rhode Island and live in Massachusetts.  My company started taking out MA state taxes even though I never asked (whole other issue).  Half way through the year they stopped taking out MA state taxes.  In my box 16 relating to Rhode Island taxes it is the same as box 1, however MA taxes box 16 is roughly half of box 1.  

The problem is when I do my MA taxes through TurboTax it adds up both box 16's so my total taxable amount is way more than I made.  If I click the button to have it only include the MA state wages it seems my total taxable amount is too low.  

My federal taxes and Rhode Island taxes are coming out fine, it is just affecting my MA taxes.  I am wondering if box 16 on my W-2 for MA is wrong.  I would think that the number should be 0 because I did not make any wages in MA, taxes were just taken out.  If box 16 was 0 then the taxes seem to come out correct.  Did my employer put in the wrong info in box 16?

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1 Reply
DavidD66
Employee Tax Expert

Box 16 on W-2

As a Massachusetts (MA) resident, all of your income is taxable by MA regardless of where it was earned.  Since you worked in Rhode Island (RI), the income you worked there is taxable by RI.  MA will issue you a credit for the tax you pay to RI (it may not be as much as the actual tax you pay).  I suggest you enter the same amount that is in Box 1, and then click the button to only include MA state wages.  All of your wages are MA wages, even if they weren't earned there.  

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