Form W-2


Tax Slayer entry:

Federal Section > Income > Wages and Salaries (W-2).

  • Income reported on this form appears on Form 1040 line 7 – Wages, Salaries, Tips, etc.
  • Federal tax withheld appears on form 1040 line 40 – Federal income tax withheld
  • State tax withheld appears on the state form from which the tax is withheld

Box a:

  • If the Employee’s social security number is not the same as on the Personal Information Form (thus at the top of the W-2 form), the client must have the W-2 re-issued before completing the return.
  • If the Taxpayer ID number entered on the Personal Information form is an ITIN, an SSN field will appear. Enter the SSN from this W-2 in that field.

Box c:

Medicaid Waiver Payment

  • If this W-2 is for a Medicaid Waiver Payment part or all of it is tax exempt (may affect EIC). To be tax exempt, the person receiving the W-2 must be living with the person receiving the care.
  • Enter the received amount as usual but also enter the exempt amount in the Medicaid Waiver Payment box in the TS W-2 form. This will add the entry for line 21 “Notice 2014-7” and the excludable portion amount as a negative number.

Box d:

  • If present, it does not have to be entered.

Box 3-6:

  • Boxes 3 and 5 default to the amount in box 1 and adjust if necessary. These numbers do not adjust for entries in boxes 7 and 12.

Box 8:

  • If the taxpayer has a tip log, the amount from the log can be used instead of the box 8 amount. But, enter the amount as Unreported Tips and leave box 8 empty.
  • If any tips were not reported to the employer because they were under $20/month, enter those in Unreported Tips and also in the resulting Form 4137 to prevent them from being taxed.

Box 10:

  • Be sure to also, complete Form 2441.

Box 11:

  • You must manually enter the amount from box 11 in the Colorado retirement exclusion line for non-qualified plans in the CO104 form. See the Colorado 104 resource page for more information.

Box 12:

  • Verify that the codes listed are in scope for your level of certification. (W requires HSA certification.)
  • If code is “DD”, verify that the insurance provided was for the full year. If not, determine what months were not covered for ACA purposes. The employer may have provided a Form 1095-C with that information (optional for 2014). Also determine who was covered.

Box 13:

If the W-2 shows no income in box 1 but Sick Pay is reported as code J in box 12, see the Code J resource page.

Box 15-20: