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Level 2
June 9, 2021
Question

Utah Resident works in Colorado - W-2 is "irregular"

  • June 9, 2021
  • 5 replies
  • 31 views

I am looking for someone who will work with me in ProSeries to prepare a Utah resident tax return with Part Year Colorado only income. Client lived and worked in CO. Got laid off. Collected CO unemployment. Moved to UT. Rehired to return to work in CO. All income is CO source. W-2 as issued did not work well in ProSeries and would like to run it by another set of eyes. Can someone assist? [phone # removed] cell

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5 replies

sjrcpa
Level 15
June 9, 2021

This is a public forum. Remove your phone number.

The more I know the more I don’t know.
Just-Lisa-Now-
Intuit Community Champion
June 9, 2021
So you have a UT resident return and a CO non resident return, did you fill in the resident and non resident state info at the bottom of the federal information worksheet? If you do that before switching over to the state returns, it may all flow better.
♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
chaz10sAuthor
Level 2
June 10, 2021

Hi Lisa - Thank you for responding. W-2 has a line for CO and wages of 56633 box 16 and SIT 2240 box 17. Next line State UT with wages 17467 box 16 and SIT 90 box 17. All wages (56633 box 1) earned in CO. I don't know what the 17467 represents for UT but employer says W-2 is correct. Taxpayer does receive travel pay to commute to CO of 400/mo. He works 2 wks on and 2 wks off and goes to UT where his family lives on off weeks. Total wages = 56633. ProSeries adds state wages together and makes UT wages 56633 + 17467 = 74100. Did Part Year residents on both returns. I did fill out dates of residency in each state on the Federal information worksheet. 

UT instructions state UT residents who earn income in other states must pay UT tax on that income. W-2 says 17467 but according to that statement shouldn't that include the CO income of 56633? UT residents then claim a credit for income tax paid to another state if that income is taxed twice. How is the income properly reported?

Just-Lisa-Now-
Intuit Community Champion
June 10, 2021

Did the client LIVE in both states? Your original post made it sound like they only lived in UT, but worked in CO....if they didnt live in CO (or if they only lived there temporarily and kept permanent residence in UT), you wouldnt file a part year return for CO, youd file a non resident return for CO.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪