Since the software mis-handled the ORSTTW in box 14, it reported an additional $43,980 in state taxes paid. This could get someone in trouble if it was the difference in hitting the max SALT for itemized deductions. Please fix it! ORSTT was the line below it and that was the correct Oregon Statewide Transit Tax.
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Yep, and the "Category" selection is different depending on whether you are using the Online software vs Desktop software.
Here's what I tell people who post here and actually notice the problem....for the others that do not realize it was wrong.., they are Screwed and facing an eventual amended tax return mess!..
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IF There is one entry for the smaller amount (ORSTTT).....the Turbotax Category you select is "ORSTT W/H" where "W/H" = withholding ................(or select "Oregon Statewide Transit Tax" if you are using the desktop software)
(.....but I'm not sure the other one (ORSTTW) "wages" should even be there in box 14 at all......but I guess that's something for the Oregon tax EA's/CPAs to fight.....)
IF&when you do enter the larger ORSTTW $$ amount make sure you select (I guess) "Other not on above list"...that's probably what you needed to select
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BUT..it will only happen for Oregon W-2 forms that have the wages in box 14......I'm not sure that all W-2 forms will have the wages there...but all should have the Tax itself there.
I informed TTX (offline) that this will be a MAJOR problem, and I'll add your post to it too.
Yep, and the "Category" selection is different depending on whether you are using the Online software vs Desktop software.
Here's what I tell people who post here and actually notice the problem....for the others that do not realize it was wrong.., they are Screwed and facing an eventual amended tax return mess!..
______________________
IF There is one entry for the smaller amount (ORSTTT).....the Turbotax Category you select is "ORSTT W/H" where "W/H" = withholding ................(or select "Oregon Statewide Transit Tax" if you are using the desktop software)
(.....but I'm not sure the other one (ORSTTW) "wages" should even be there in box 14 at all......but I guess that's something for the Oregon tax EA's/CPAs to fight.....)
IF&when you do enter the larger ORSTTW $$ amount make sure you select (I guess) "Other not on above list"...that's probably what you needed to select
_________________________________
BUT..it will only happen for Oregon W-2 forms that have the wages in box 14......I'm not sure that all W-2 forms will have the wages there...but all should have the Tax itself there.
I informed TTX (offline) that this will be a MAJOR problem, and I'll add your post to it too.
Intuit's idea of fixing this problem is to prefill the two items on the W-2 screen then tell you it's wrong on the next, "but you can choose something else" other than "other" if you want to. ; {
Turbo Tax has a problem with the Oregon State Transit Tax AGAIN! Transit tax does get reported on the W-2 in box 14, both the wages and tax withheld. It would seem logical to select Oregon Statewide Transit Tax in the dropdown box, but by doing so, Turbo Tax calls it State Mandatory Taxes and adds it to Other Income Taxes. BIG ERROR! Select "Other (not classified)". Fix it TT!
I went back to the W2 information and removed the line that shows income in box 14, but it did not change anything on the overview page (where it has the blue link for the ridiculously high dollar amount for "Other Income Taxes").
Mine still shows over 3 times the amount of our Federal Withholding for 2023 on the last line "State mandatory taxes" which is obviously incorrect.
Is there a way to fix this in the forms?
I fixed it by "Update" on each of our W2 forms, and removed any entries in Box 14 that were not actually amounts withheld from our income. Now the State Mandatory taxes shows $136 instead of over $38,000.
So glad I discovered this error before filing our taxes. TurboTax needs to fix this ASAP.
Turbo Tax has been hearing this for years and does nothing to fix the problem or provide information about Box 14 entries. In Oregon, employers are required to enter in Box 14, the Statewide Transit Tax withheld, but they are not required to enter Paid Leave Oregon. However, many do. STT is not a deductible tax, and Paid Leave Oregon is not technically a tax. If you choose to enter them from your W-2, select the description of "other (not classified). If you choose Oregon Statewide Transit Tax or Oregon Paid Leave, TT will add it to your total deductible taxes. You may be amending your return if you don't get this right.
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