1923
The following diagnostic is generating:
The wage adjustment on North Carolina Form D-400 may be incorrect. It is incorrect to use "State wages, if different" to allocate wages on a nonresident return. This will result in an incorrect tax calculation on Form D-400. Generally, there should be no "Wage adjustment" in the other additions or subtractions section for a part-year resident or nonresident.
Solution:
On a multi state return an entry has been made in the State and Local Section of screen 10, Wages, Salaries, Tips in the field (16) State wages, if different (code 13). For correct calculations, we suggest not using this field. The program carries the difference between the federal and state wages to the state return from state wages from Form W-2, box 16, if different from the federal wages. When preparing part-year or nonresident returns, do not use this field to indicate the amount of wages derived from sources within a particular state. Instead, use the field (1) Wages, Tips, etc (Ctrl+E if multi-state) (screen 10, code 3).
