I was on long term disability last year... i have a W-2 from Cigna showing wages in box 1, no taxes taken out and the code "J" in box 12. is this non taxable or do i have to include the wages?

[Rainman12]

In Box 12, is there an amount listed after the code J?

[mookie85]

Yes there is.

[Rainman12]

Any wages shown in Box 1 Are taxable; Amounts in Box 12, code J are Not taxable, 'information only' ...

[macuser_22 · Accepted solution]

The IRS does not want a W-2 that does nothing and they do not even allow you to e-file a W-2 with nothing in box 1. 

But if there is anything in box 1 then it must be entered.

[mookie85]

Thank you everyone for your assistance!

[Stumblingwithtaxes]

MY W2 for my long term disability, thru third party, reflects income in Box 1, No J Code, Box 13 is checked third party sick pay.  SO after reading all posts I have to report this as income  Correct ?

2nd question is they only reflect 100.00 in Box 2 federal taxes.  this is on 7,600 of income.

shouldn't it reflect more taxes taken out ?

[DianeW777]

Perhaps, you must report the income for federal purposes if it was received from an employer paid plan. If you paid for the plan then it should not be reported on a W-2.  Each state return has different tax rules.

@Stumblingwithtaxes

• Is Third Party Sick Pay taxable?
• Do I need to file a state return?