Question

Employer paid state taxes on a state we didn't live in

Forum|Forum|5 years ago
February 17, 2021
1 reply
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My husband's employer took a state tax for WI out of his pay for the first month or two of him working for them. We live in WA (which doesn't have a state tax). Is there a way to file through TurboTax and get that all back? I've filled it all out, but Turbotax says that we'll only get about half back. I'm wondering if the employer filled out his W2 wrong...should there be an amount in box 16, if he didn't live in that state while working for them? Thanks in advance!

H

HelenC12

Yes. You will have to file a WI nonresident return to recover the erroneous withholdings. What matters is where you earned the income—not where your employer is located.

On the nonresident return, you'd declare earnings of 0 so you can get a full refund for the taxes your employer withheld.

To file a WI nonresident income tax return, see How do I file a nonresident state return?

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DenicelgAuthor

Okay, thank you for your response!

Do you know if I need to get a new W2, since they put the amount made in box #16 (state wages, tips, etc). Shouldn't that box be $0, and just the amount of state tax paid in box #17?

Thanks in advance!

I

Irene2805

No - You don't need to get a corrected W-2. The amount in box 16 is the amount used to calculate box 17. Chances are the employer won't issue a corrected W-2 anyway since the state taxes have already been collected and sent in to WI.

Just follow HelenC12's advice above and file a WI nonresident return.