W-2 WITH MULTIPLE STATES

[professional...@verizon.net]

I can't seem to wrap my head around this... 

I have a student )age 22) that has received multiple w-2's.

One w-2 has the exact same income listed for both Arizona and CA

He is a California resident, attending school in Arizona

the income on this W-2 is $11,600. The problem is that they have listed it in both the California section and the Arizona section with withholding for both states

11,600 allocated to Arizona

11,600 allocated to California

11,600 total allocated to Federal

To be clear... this isn't his only w-2 (total income from all w-2's = $41,000)

My software will only allow 11,600 to be included on the tax return and not the way they listed it on the w-2

I'm not quite sure if I need to allocate it differently.

If I allocate the full amount to AZ and then also to California as a California Resident, will he be allowed to take the credit for taxes paid to other states on CA form S ?

He is also a dependent on his mother's tax return. Will this make a difference?

Thanks for your help... 

Jackie Deniston

[Lee Reams]

Jackie,

CA and AZ are not reciprocal state.  Taxable to AZ and a credit for AZ taxes taken on the CA return.

Lee

--
You are subscribed to the ClientWhysConnect group.
Post Address: clientwh...@googlegroups.com
Unsubscribe Address: clientwhysconn...@googlegroups.com
For more options, visit this group at
http://groups.google.com/group/clientwhysconnect?hl=en?hl=en
 
Disclaimer --- You use the information shared on ClientWhysConnect.com at your own risk. The information is based upon unsubstantiated member opinions and if you have concerns about the validity of the information you should research the issue thoroughly yourself and arrive at your own conclusions. We will never share any of the information you’ve provided to the ClientWhysConnect.com list with anyone.
---
You received this message because you are subscribed to the Google Groups "ClientWhysConnect" group.
To unsubscribe from this group and stop receiving emails from it, send an email to clientwhysconn...@googlegroups.com.
To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/984853039.420113.1719791311718%40mail.yahoo.com.

 

	Lee Reams Sr., BSME, EA Chief Content Officer CountingWorks Pro | CountingWorks | TaxBuzz | TaxCPE p: 1.800.442.2477 x240 w: www.countingworkspro.com/  e: lee....@countingworks.com
See how CountingWorks can grow your practice.

 

[scott jessup]

Lee, I think the W2 is incorrect and it needs to be corrected. It appears all the wages were incurred in Arizona so W2 should show 11,600 only for Arizona. The student, however, needs to file Arizona and California tax returns. With the current W2, the FTB is expecting 11,600 in California wages. 

Scott 

Sent from my iPhone

On Jul 1, 2024, at 1:35 AM, Lee Reams <lee....@clientwhys.com> wrote:

Jackie,

<PastedGraphic-2.tiff>

	Lee Reams Sr., BSME, EA Chief Content Officer CountingWorks Pro | CountingWorks | TaxBuzz | TaxCPE p: 1.800.442.2477 x240 w: www.countingworkspro.com/  e: lee....@countingworks.com
See how CountingWorks can grow your practice.

 

--
You are subscribed to the ClientWhysConnect group.
Post Address: clientwh...@googlegroups.com
Unsubscribe Address: clientwhysconn...@googlegroups.com
For more options, visit this group at
http://groups.google.com/group/clientwhysconnect?hl=en?hl=en
 
Disclaimer --- You use the information shared on ClientWhysConnect.com at your own risk. The information is based upon unsubstantiated member opinions and if you have concerns about the validity of the information you should research the issue thoroughly yourself and arrive at your own conclusions. We will never share any of the information you’ve provided to the ClientWhysConnect.com list with anyone.
---
You received this message because you are subscribed to the Google Groups "ClientWhysConnect" group.
To unsubscribe from this group and stop receiving emails from it, send an email to clientwhysconn...@googlegroups.com.

To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/63AA34DE-8049-4D96-B3B5-A3A3657BC7C6%40clientwhys.com.

[Lee Reams]

Scott, I agree and what I tried to convey to here. Taxable to AZ and CA but they are not reciprocal states so the credit for taxes paid to AZ is taken on the CA return. I didn’t think to match about the W-2 said she only got one Federal W-2 with the amount taxable to both states. So I think the W-2 may be ok.

Lee

To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/9698781F-E6FE-4E4D-82AA-FD8CAF575DD7%40yahoo.com.

 

[Tom Cox]

I agree with Lee but I think the credit will show up on the AZ return and zero out the AZ tax.

The information contained herein is confidential and may be privileged and is intended only for the individual or entity to whom it is addressed. Any unauthorized use, distribution or copying of this communication is strictly prohibited. If you have received this communication in error, please notify me immediately.

To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/E1B4200A-5125-4121-87EB-FCAF38C19E1C%40clientwhys.com.

[scott jessup]

Lee, They should try to get a corrected W2 because the FTB is expecting $11,600 in California income. I had that problem last year. It took the client a couple of months to get a corrected W2. 

Thanks

Scott 

Sent from my iPhone

On Jul 1, 2024, at 11:15 AM, Tom Cox <tomc...@gmail.com> wrote:



<PastedGraphic-2.tiff>

	Lee Reams Sr., BSME, EA Chief Content Officer CountingWorks Pro | CountingWorks | TaxBuzz | TaxCPE p: 1.800.442.2477 x240 w: www.countingworkspro.com/  e: lee....@countingworks.com
See how CountingWorks can grow your practice.

 

--
You are subscribed to the ClientWhysConnect group.
Post Address: clientwh...@googlegroups.com
Unsubscribe Address: clientwhysconn...@googlegroups.com
For more options, visit this group at
http://groups.google.com/group/clientwhysconnect?hl=en?hl=en
 
Disclaimer --- You use the information shared on ClientWhysConnect.com at your own risk. The information is based upon unsubstantiated member opinions and if you have concerns about the validity of the information you should research the issue thoroughly yourself and arrive at your own conclusions. We will never share any of the information you’ve provided to the ClientWhysConnect.com list with anyone.
---
You received this message because you are subscribed to the Google Groups "ClientWhysConnect" group.
To unsubscribe from this group and stop receiving emails from it, send an email to clientwhysconn...@googlegroups.com.
To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/E1B4200A-5125-4121-87EB-FCAF38C19E1C%40clientwhys.com.

--

You are subscribed to the ClientWhysConnect group.
Post Address: clientwh...@googlegroups.com
Unsubscribe Address: clientwhysconn...@googlegroups.com
For more options, visit this group at
http://groups.google.com/group/clientwhysconnect?hl=en?hl=en
 
Disclaimer --- You use the information shared on ClientWhysConnect.com at your own risk. The information is based upon unsubstantiated member opinions and if you have concerns about the validity of the information you should research the issue thoroughly yourself and arrive at your own conclusions. We will never share any of the information you’ve provided to the ClientWhysConnect.com list with anyone.
---
You received this message because you are subscribed to the Google Groups "ClientWhysConnect" group.
To unsubscribe from this group and stop receiving emails from it, send an email to clientwhysconn...@googlegroups.com.

To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/CAMSA-R-VdemTZtBWAop2ucDvvFh5R_1Un%2BnkpCYvTKXzLF453A%40mail.gmail.com.

[Lee Reams]

Ok, she should be seeing these emails.

Lee

On Jul 1, 2024, at 11:15 AM, Tom Cox <tomc...@gmail.com> wrote:

<PastedGraphic-2.tiff>

	Lee Reams Sr., BSME, EA Chief Content Officer CountingWorks Pro | CountingWorks | TaxBuzz | TaxCPE p: 1.800.442.2477 x240 w: www.countingworkspro.com/  e: lee....@countingworks.com
See how CountingWorks can grow your practice.

 

--
You are subscribed to the ClientWhysConnect group.
Post Address: clientwh...@googlegroups.com
Unsubscribe Address: clientwhysconn...@googlegroups.com
For more options, visit this group at
http://groups.google.com/group/clientwhysconnect?hl=en?hl=en
 
Disclaimer --- You use the information shared on ClientWhysConnect.com at your own risk. The information is based upon unsubstantiated member opinions and if you have concerns about the validity of the information you should research the issue thoroughly yourself and arrive at your own conclusions. We will never share any of the information you’ve provided to the ClientWhysConnect.com list with anyone.
---
You received this message because you are subscribed to the Google Groups "ClientWhysConnect" group.
To unsubscribe from this group and stop receiving emails from it, send an email to clientwhysconn...@googlegroups.com.
To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/E1B4200A-5125-4121-87EB-FCAF38C19E1C%40clientwhys.com.

--
You are subscribed to the ClientWhysConnect group.
Post Address: clientwh...@googlegroups.com
Unsubscribe Address: clientwhysconn...@googlegroups.com
For more options, visit this group at
http://groups.google.com/group/clientwhysconnect?hl=en?hl=en
 
Disclaimer --- You use the information shared on ClientWhysConnect.com at your own risk. The information is based upon unsubstantiated member opinions and if you have concerns about the validity of the information you should research the issue thoroughly yourself and arrive at your own conclusions. We will never share any of the information you’ve provided to the ClientWhysConnect.com list with anyone.
---
You received this message because you are subscribed to the Google Groups "ClientWhysConnect" group.
To unsubscribe from this group and stop receiving emails from it, send an email to clientwhysconn...@googlegroups.com.

To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/CAMSA-R-VdemTZtBWAop2ucDvvFh5R_1Un%2BnkpCYvTKXzLF453A%40mail.gmail.com.

[Jacqulyn Deniston EA]

Thank you everyone for your responses. I advised the client that he needs to get a corrected w-2 but the employer said it’s correct and won’t change it.  So I’m going to try and contact them after the holiday and have them explain to me why they believe it’s correct. 

Client said he won’t be going back to Arizona for school so that means everything will need to be communicated by phone, email, or snail mail.

Thanks again 

Sent from my iPhone

On Jul 1, 2024, at 2:06 PM, Lee Reams <lee....@clientwhys.com> wrote:

Ok, she should be seeing these emails.

To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/77B6968D-C7B4-4AF2-B649-500D229688F3%40clientwhys.com.

[Alma]

I do not think you will win that battle. Do as Lee originally said. File as is, One state, most likely CA will credit tax paid to the other state.

He is a dependent of his parents who are CA residents. The other state is temporary for education purposes.

Alma V Guenther, EA - The Right Place

817 Missouri St, ste 2 - Fairfield CA 94533

office: 707-425-1865

fax: 707-425-4342

cell: 707-331-5378

email: right.p...@gmail.com

To view this discussion on the web visit https://groups.google.com/d/msgid/clientwhysconnect/A9EE86C7-B608-4B0C-AFF3-0647ADE1CE7A%40verizon.net.

[rbe...@san.rr.com]

My opinion is that the client is a CA resident and the income was earned in AZ.  As a

CA resident the income is taxable to CA and earned in AZ also taxable to AZ   If a CA

resident has rental property in AZ the same would apply.

I believe the W-2 is correct.

Robert "Bob" Berg EA

-----------------------------------------

Thanks again