Employee that resides and works in one state where we have a storefront. Main LLC is based out of a different state. w2 added both states to it, what did I do wrong

LLC based in AZ, with employees in AZ.  Also have employees in MT (live and work there 100% of the year) Payroll and quickbooks done in AZ.  Employee set up in Payroll with MT address.  W2 put AZ and MT in the state portion.  What did I set up wrong?  And how do I correct it?


Good to see you here in the Community, rogerssherry71.

Let me share some information on how to handle your employees W-2.

Where the business is registered, the unemployment taxes shall be withheld on that State. For the employee’s withholding taxes it should follow his/her registered home address.

To verify if you still need to withhold for the state where the main branch is located, I suggest you seek professional advice with the State Agency. If they confirm that the taxes will be on the main branch, then you'll need to specify the employee's work location. 

Here's how:

  1. Go to Employees tab and click the employee's name.
  2. In the Employment section, select Edit.
  3. From the Work Location drop-down, select the work location.
  4. Select OK.

You can check this article for more information about this: https://community.intuit.com/articles/1762641

    That's it. If you have any other questions or would like me to clarify anything else about your withholding tax, let me know. I am always glad to help in any way I can.​ Have a great rest of the day.  

    Was this answer helpful? Yes No
    IntuitMaryJoy , Community Support Specialist
    Employee SuperUser

    No answers have been posted

    More Actions

    People come to QuickBooks Learn & Support for help and answers—we want to let them know that we're here to listen and share our knowledge. We do that with the style and format of our responses. Here are five guidelines:

    1. Keep it conversational. When answering questions, write like you speak. Imagine you're explaining something to a trusted friend, using simple, everyday language. Avoid jargon and technical terms when possible. When no other word will do, explain technical terms in plain English.
    2. Be clear and state the answer right up front. Ask yourself what specific information the person really needs and then provide it. Stick to the topic and avoid unnecessary details. Break information down into a numbered or bulleted list and highlight the most important details in bold.
    3. Be concise. Aim for no more than two short sentences in a paragraph, and try to keep paragraphs to two lines. A wall of text can look intimidating and many won't read it, so break it up. It's okay to link to other resources for more details, but avoid giving answers that contain little more than a link.
    4. Be a good listener. When people post very general questions, take a second to try to understand what they're really looking for. Then, provide a response that guides them to the best possible outcome.
    5. Be encouraging and positive. Look for ways to eliminate uncertainty by anticipating people's concerns. Make it apparent that we really like helping them achieve positive outcomes.

    Select a file to attach:

    Qb community
    Looking for advice from other business owners?

    Visit our QuickBooks Community site.