Skip to main content
February 9, 2023
Question

My TN W2 won't add to my PA tax return

  • February 9, 2023
  • 1 reply
  • 0 views

Every time that I try to complete my PA tax return, it only includes income that I made in PA. I understand that all income is taxed in PA, but it won't include the income on my TN W2's. I understand that TN does not have income tax so I do not need to file a TN return because they do not have state income tax. I choose the option that I made money out of state, but it says not to choose Tennessee, even when I do, the income does not show up on my PA taxed income. How do I get all of my income to show up on my PA state return?

1 reply

February 9, 2023

It depends. You enter all of your income in the Federal section. If your state of residence is Pennsylvania, that state will tax you on all of the income you entered in the Federal section. If your state of residence is Tennessee, you would only prepare a Nonresident state return for Pennsylvania and follow the prompts to identify only your Pennsylvania income. 

 

Individuals who are domiciled in PA or who are statutory residents of PA are subject to PA personal income tax on income, regardless of where the income was earned. Both residents and statutory residents may qualify for credits against tax paid to other states on income earned outside of PA. 

 

See here for more information from the Pennsylvania Department of Revenue.

 

See See also this TurboTax article on multiple-state situations.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"
Hal_Al
Employee
February 9, 2023

TT is aware of the TN problem and is working on it.  Since PA doesn't really care what the other state is, try entering you TN wages (in boxes 15-16 at the W-2 screen) as TX (another non taxing state). Do not use a PA reciprocal state (Indiana, Maryland, New Jersey, Ohio, Virginia, West Virginia). 

February 24, 2024

Has this problem been resolved for the 2023 tax year. I am encountering the same issue with income earned in FL. Not as simple as "altering" the FL w2 as it requires the employer's state code!