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Level 2
March 24, 2026
Question

Rejection due to "Other Withholding"

  • March 24, 2026
  • 1 reply
  • 0 views

I have a client and spouse that are filing MFS due to income based student loans.  We are in WI, so marital property state.  I split all of their income and withholding so that they are each filing half of everything.  I've done theirs MFS for the last 3 years and have done them for other couples before this for years.  This is the first time I have had this issue.

To make the number work out correctly I adjust their with holdings on the "Tax Payments" tab/screen.  His I added $1294, hers I subtract $1294.  When I filed them, his went through just fine.  Hers has been giving me a rejection - 

Return Rejected 03/23/2026
Code: /Return/ReturnData/OtherWithholdingStatement/OtherWithholdingStmt/WithholdingAmt
Form: 0(00) Form Copy:
Line #:
Description: (/Return/ReturnData/OtherWithholdingStatement/OtherWithholdingStmt/WithholdingAmt)

So it definitely appears to be caused by my adjustment in the Tax Payments tab.  I just can't figure out why.  I've never had this issue!  I've tried everything I can think of to correct it.  Things I've tried:

Running software updates, deleting the Tax Payments for and re applying, restarting program, restarting computer, and just now I deleted the whole return and built it again.  Nothing is solving the problem.  I'm out of ideas and open to any suggestions!

1 reply

IRonMaN
Level 15
March 24, 2026

Why not tweak the withholding on the W-2s.  As long as they agree in total with what the employers reported you shouldn’t have any issues with matching down the road.

Slava Ukraini!
BobKamman
Level 15
March 24, 2026

@IRonMaN 's suggestion won't work when one return has already been filed. The solution now is paper filing.  

The rules for low-income teachers and student loan forgiveness prove Congressional idiocy is bipartisan.  But the easiest workaround in this situation would have been a marital property agreement under Wis. Stat. §766.58.  I generally discourage DIY legal forms, but for this situation there are free templates online that the average college graduate should be able to understand.