I cannot enter a code Z on a w2 form I received and complete my taxes

[CherylW]

Apparently Turbo Tax doesn't support that code.

This, from within the program:

W-2  Box 12 code Z is income under section 409A on a nonqualified deferred compensation plan. This is unusual and the calculations for the additional tax and interest on this are not supported.

If you do not have this code on your W-2, remove it by selecting No code in the drop down list below.

[WHT]

I changed the "Z" to "no entry" and the recalculation did not change  the federal tax due.  Why ??

[JulieS]

Code Z in box 12 is income from a 409A on a nonqualified deferred compensation plan. This is money that is deferred from your income and invested in a plan that is non-qualified, that is a plan that doesn't meet the rules to be tax deferred like a 401(k) plan. 

The deferred amount is still taxable and doesn't qualify you for any deductions or credits, so it doesn't affect the amount of your taxes. 

[Kelseyarmrong]

I can’t complete my federal form because TurboTax is not accepting this. 

[HeatherPLO]

You are commenting on an older thread that may have outdated information.  

Please post your exact issue here in the thread along with the version of TurboTax you are using, and we would be happy to assist you further.  

@Kelseyarmrong