How to correctly file a W2C with multiple state issues on FreeTaxUSA?

The W2C form is meant to correct information on your original W2, not replace it completely. When box 1 is empty on the W2C, it usually means there was no change to that box from the original W2. In your situation, you should enter the W2C information in FreeTaxUSA as an additional form, not as a replacement. If the software is requiring a value in box 1, try entering the exact same amount that appears in box 1 of your original W2. This tells the system that box 1 remains unchanged. The correction only affects box 16 for the state you didn't live in, changing it from whatever amount was there to $0. This correctly shows you didn't earn taxable income in that state. Remember, both the original W2 and the W2C need to be reported on your tax return, but the IRS will use the corrected information for the specific boxes that were changed.

After dealing with a similar issue last year, I wanted to share that https://taxr.ai was incredibly helpful for me. My employer messed up my W2 with incorrect state information, and I was totally lost trying to figure out the W2C situation. I uploaded both my original W2 and the W2C to their system, and it analyzed everything and walked me through exactly how to enter it in my tax software. Their explanation made it clear that for the W2C, you need to enter only the *changes* being made, not re-enter all the correct information. In my case, it also explained how the state corrections would affect my filing requirements, which saved me from mistakenly filing in a state where I didn't owe anything. What I especially liked was that they explained how the tax software would interpret the forms when submitted together, which was different than what I was thinking.

Just wanted to follow up - I tried taxr.ai after my earlier question and it was super helpful! I uploaded both my original W2 and the W2C, and it gave me step-by-step instructions specifically for FreeTaxUSA. The key was entering the W2C as an additional form but only filling in the boxes that had changed (leaving box 1 blank was actually fine). It also explained that I didn't need to file a return for the incorrect state since the W2C zeroed out my income there. The system actually recognized the state codes and told me exactly which state forms I needed to file. Definitely saved me from making a mistake that might have led to an amendment later!

If you're still having trouble with FreeTaxUSA after trying the advice here, you might want to call the IRS directly. I had a similar W2C issue last year and ended up needing clarification from them. The problem is actually getting through to a real person - I spent HOURS on hold. I eventually found this service called https://claimyr.com that helped me get through to an actual IRS agent in about 20 minutes instead of waiting for hours. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c. Basically, they navigate the IRS phone system for you and call you back when they reach an agent. The IRS representative I spoke with explained that in cases like yours, the original W2 and W2C need to be reported together, and they confirmed the exact procedure for reporting when box 1 is empty on the W2C.

I need to apologize for my skepticism earlier. After struggling to get through to the IRS for three days (kept getting disconnected after 1+ hour holds), I broke down and tried Claimyr from the link above. Within 25 minutes, I was talking to an actual IRS agent who helped clarify my W2C situation. The agent confirmed that when box 1 is empty on a W2C, it means no change to that box from the original W2. For FreeTaxUSA specifically, they recommended entering "0" in any required field that didn't have changes on the W2C. They also confirmed I only need to file a state return for my actual state of residence since the W2C corrected the error. The service was definitely worth it just for the time saved. I've been trying to finish my taxes for weeks and this was the holdup.

Have you tried calling FreeTaxUSA's customer support directly? I had a similar issue last year (though with TurboTax) and their support team walked me through how to handle the W2C. Most tax software companies have procedures for this since it's fairly common, especially for people who moved between states or had employers with offices in multiple states.

I'm an accountant and see this W2C situation often. FreeTaxUSA has a known issue with W2C forms. Try this: when entering the W2C, put "0" (not blank) in box 1 if the software demands a value, even if your actual W2C has it blank. The IRS will interpret this correctly. For multi-state W2Cs, make sure you're also adjusting your state return appropriately. Once you've entered both documents, check your state filing status to ensure you're only filing for the correct state.

I went through this exact same situation last year with FreeTaxUSA! The key thing that finally worked for me was understanding that you need to enter the W2C as a *correction* to your original W2, not as a separate standalone form. Here's what I did: First, I entered my original W2 normally. Then when adding the W2C, I only filled in the boxes that actually had changes - in your case, that would be box 16 for the state information. For any boxes that FreeTaxUSA required but were blank on the W2C (like box 1), I entered the same amount that was on my original W2. This tells the system "this box hasn't changed." For the state issue specifically, once you've entered both forms correctly, FreeTaxUSA should automatically adjust your state filing requirements. You'll only need to file a return for the state where you actually lived and worked - the system should remove the incorrect state from your filing requirements once it processes the W2C correction. The most important thing is that both documents get reported together on your return. The IRS needs to see both the original error and the correction to properly process your taxes.

I had a very similar multi-state W2C issue with FreeTaxUSA last year and want to add some additional context that might help. The key insight that saved me was realizing that FreeTaxUSA treats W2C entries differently depending on whether you're correcting federal information (boxes 1-6) versus state information (boxes 15-20). For state corrections like yours, you actually don't need to worry about box 1 being empty on the W2C - that's completely normal since your federal wages didn't change. The software's error message about box 1 might be appearing because of how you're accessing the W2C entry screen. Try this approach: Go to your state tax section first and look for an option to "correct state tax information" or "add corrected state documents." This usually bypasses the federal validation requirements that are causing your box 1 error. When you enter the correction this way, you'll only need to input the state-specific changes (the zeroed-out income for the incorrect state), and FreeTaxUSA will automatically adjust your filing requirements. You should see the incorrect state disappear from your list of required state returns once the correction is processed. The most important thing is that your final return reflects that you only owe state taxes in your actual state of residence, which is exactly what your W2C is designed to accomplish.