PA Tax owed?

[Matt 126]

Hi, I typically do not owe taxes for PA state tax. I did my wifes portion of her taxes and it looks like it was 0.00, until I entered my W2 portion.. Some items stood out.... I never had to owe taxes for my STATE of PA before.. I owe 306.00.. and I am not sure as to why?

BOX 1- 42701.41 

BOX 12A D-1829.18 

BOX 16 44530.59 

BOX 17- 1367.06

BOX 18 44530.59

BOX 19 445.30

I see that BOX 12 is D- 1829.18 which seems like PA added that as taxable income? Is that why I am overpaying? Was there an error here?  My wife makes the same as I do and we literally have paid the same amounts of state taxes.. The only difference I see is the an amount that is owed as opposed to ZERO. Please advise! 

[Vanessa A]

Your 401K contributions are not taxed by federal but are by the state of PA.  PA does not give you a deduction when you are making the contributions, but when you withdraw them, you can deduct your basis (contributions) from your taxable withdrawal. But, that is why your box 18 equals box 1 plus box 12D. 

PA tax rate is 3.07%.  You had the exact right amount withheld.  If, your only incomes were 2 W-2's with identical amounts, you need to double check your entries. The $1,367.06 they withheld is the correct amount based on the numbers you entered.