Originally Posted by ajz3113
I am helping a friend with her tax preparation and she received a W-2 for $1608.00 she received while she was off work for medical issues.
(although the form doesn't say "Form W-2" it looks exactly like a W-2)
Box 1 $1608.00
Box 2 $0
Box 4 $99
Box 6 $23
Box 12 shows exactly this: 12a 12b 12c 12d 12e
Box 13 is marked X on "Third-Party Sick Pay"
TurboTax doesn't allow for these Box 12 entries.
I'm hoping someone can explain if this amount is taxable and how I can enter this form in my tax prep program
12-a-e; It is already subtracted from your taxable income . No need to report this tax deferred contribution. Your 401K contribution is tax deferred and you will notice a difference between box 1 and box 3. The difference is your 401K money and it is not taxed.
. Third party sick pay is money you received by third parties, such as insurance companies, or trusts, that pay sick pay in place of wages. These payments are made under a plan established with your employer. third party sick pay is taxable. it should already have been included in box 1 on your W-2 from your job. if not, you need to add this amount to your taxable wages on your W-2 . you need to contact the software vendor for tech support.