Nonqualified Pension Plan i.e., an Amount in Box 11

Forum|Forum|1 year ago
February 17, 2025
1 reply
0 views

My W-2 has an amount in Box 11. There is a "PA" in box 15 and State ID. Since PA does not tax pensions there is zero in Box 16 (State Wages) and zero in Box 17 (State Income Tax). Turbo Tax prompted me to enter a state associated with this income so I entered "Pennsylvania". When Turbo Tax does the final review it says that the state I entered does not match a state entered in Box 15. I reentered the W-2 and put "PA" in Box 15 but the final review still says it can't match a state in Box 15. The only way I could pass the review is if I enter PA in Box 15 and enter an amount in Box 16, but I don't want an amount in Box 16 if PA doesn't tax this amount. How can I keep the W-2 data matching what is on the form (no amount in Box 16) but still pass the final review?

TurboTax Premier Online

Best answer by SusanY1

Please enter the amount in Box 1 in the space for Box 16. While you may temporarily see running totals change, you can adjust for the state tax treatment in the state tax interview section of the program.

ThomasM125

You can try entering a $0 in box 16 for the state wages if you haven't done that already. Also, you can try entering the state wages in box 16 equal to the distribution listed in box 11, as it may not compute as taxable based on other entries you made.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"

jsanta2Author

Thanks for the quick reply. I did try entering zero in box 16, but unfortunately that didn't get rid of the error. Entering the nonzero amount makes that amount taxable for state income tax purposes...