gb0248
Level 2

Yes, The Intuit community was not a very helpful resource.

Enter the W-2GU as you would a normal W-2.   It has Federal, Social Security and Medicare just like a traditional W-2.

Fill out a 5074 and attach it using the PDF attachment button in the program.  This will reconcile the  Guam tax withheld to the Federal Tax withheld.  You do not need to file a Guam tax return.

Pennsylvania allows you to use the tax paid to Guam to offset PA taxable income.  I was in touch with senior directors in the department and confirmed this in writing.  No PA tax was withheld but I needed to attach the W-2 GU and 5074 so that the tax was not assessed to Pennsylvania.

Pennsylvania also has a local tax.  If there is tax assessed over and above the PA liability, this can be applied to the be a credit against the local tax liability if a balance is due.  As my client worked for a company with no presence in Pennsylvania and did not comply with ACT 32, my client got the local tax of over $1,000 covered by having worked in Guam.