I have local income tax paid (item 18) on my w2 but no local wages, tips etc (item18)

[Heather_Billings · Accepted solution]

That's very normal.  Because the local wages, tips, etc are almost always the same amount as state wages and federal wages, many payroll companies leave that box blank.  Don't worry - you'll still get credit for the local taxes paid on Schedule A.  

[camstephens28]

We are having the same problem; my husband's W2 shows $70.70 in box 19 and nothing in box 18, and TurboTax will not allow us to file until this has been "corrected," even though it's accurate.

[edalbow]

Having the same issue here. I cant file because box 18 is empty. What should I do?

[evs05]

Still the same problem without an answer.

[taxfilerule26]

My concern is paying for service that doesn't deliver.

[hannah-swaim92]

I just found this information in "common questions" category when searching for answers on my husbands tax return section of his employer.

   QUESTION: My tax software program requires a local taxable amount. My W-2 doesn't show one. Where can I get this
figure?
ANSWER: The IRS does not require a local taxable figure on the W-2. Only the local tax paid must be shown. However,
some tax preparation software does require a local taxable figure for processing. We recommend that the employee use
the Medicare taxable figure, found in box 5 of the W-2. 

I hope this is helpful to someone.

[divad1]

I have a W2 with blanks in boxes 15-17,Ie. no state income tax withheld. Yet, I have amounts in boxes 18-19 and "51-Phila" (presumably Philadelphia) in box 20. What do I do? Do I need to file a PA state returnb (TT didn't prompt me w PA as a choice for states when I starting the state section).  Do I need to file a local Philly return (and NOT a Pennsylvanis state return)? Thanks.

[VictoriaD75]

That is not likely. You would need to file a Pennsylvania return if you reside in the state. Do you happen to live in NJ and commute to Philadelphia? If so, you will need to file a NJ return. You should contact your employer, as it may have been reported in error. If you live in either PA or NJ, state income taxes should have been withheld. You may need to obtain a corrected W-2.

[divad1]

Thanks very much Victoria. Apologies for not providing all relevant info.  Residency is NYS. Also, income was for a fellowship.  I did further research and I think that income is explicitly exempt or non taxable income by PA.

That's probably why no Boxes 15-17 were blank.

So, I think no PA state return needs to be filed. Agree or please advise? Also, I see local withholdings for Philly, most likely for the local wage tax and 3.4567% was withheld. So I don't believe a local Philly return needs to be filed either (as a NY, Non PA resident). Agree or please advise? Thanks again!

[DMarkM1]

It appears your fellowship stipend may be non-taxable for PA state taxes so as a nonresident you would not need to file a return.  Here is the link to PA DOR on the subject. 

For Philadelphia city tax you would need to pay that, but since it has been withheld there is nothing to file.  Had it not been withheld you would file an earnings return with the city.  Here is the Philadelphia page.

[divad1]

Hello. Thanks. This answer and the prior one gave great best and most complete answers! Thank you.👍

[mhugo1]

did you resolve this? i have the exact same issue

[divad1]

Yes, I believe so. No PA or Philly filings. Best wishes.

[thankmelater]

It seems that the software is not smart enough to distinguish 'blank' vs 0 when using the upload feature. Just go back to the W2 section and choose the manual entry option and remove the prefilled 0.00 in Box 18. Voila! Problem solved.

I paid for the live chat option only to get the standard 'clear your browser cache' canned response. Intuit, this the best you can do??