There are several types of compensation and benefits that can be reported in Box 12 of Form W-2. Box 12 will report a single letter or double letter code followed by a dollar amount. The following list explains the codes shown in Box 12 of Form W-2. You may need this information to complete your tax return.
| A | Uncollected social security or RRTA tax on tips. Include this tax on Form 1040. See “Other Taxes” in the Form 1040 Instructions. Keystone Tax Solutions Pro automatically pulls this amount to the Total Tax line of Form 1040 and denotes it with code UT. |
| B | Uncollected Medicare tax on tips. Include this tax on Form 1040. See “Other Taxes” in the Form 1040 instructions. Keystone Tax Solutions Pro automatically pulls this amount to the Total Tax line of Form 1040 and denotes it with code UT. |
| C | Taxable cost of group-term life insurance over $50,000 (included in boxes 1, 3 (up to social security wage base), and box 5). This amount is already included in the taxable income of the Form W-2. It is not reported separately on Form 1040. |
| D | Elective deferrals to a section 401(k) cash or deferred arrangement. Also includes deferrals under a SIMPLE retirement account that is part of a section 401(k) arrangement. Keystone Tax Solutions Pro pulls this amount to Form 8880. |
| E | Elective deferrals under a section 403(b) salary reduction agreement. Keystone Tax Solutions Pro pulls this amount to Form 8880. |
| F | Elective deferrals under a section 408(k)(6) salary reduction SEP. Keystone Tax Solutions Pro pulls this amount to Form 8880. |
| G | Elective deferrals and employer contributions (including non elective deferrals) to a section 457(b) deferred compensation plan. Keystone Tax Solutions Pro pulls this amount to Form 8880. |
| H | Elective deferrals to a section 501(c)(18)(D) tax-exempt organization plan. See “Adjusted Gross Income” in the Form 1040 instructions for how to deduct. Keystone Tax Solutions Propulls this amount to Form 8880. |
| J | Non taxable sick pay (information only, not included in Boxes 1, 3, or 5). |
| K | 20% excise tax on excess golden parachute payments. See “Other Taxes” in the Form 1040 instructions. |
| L | Substantiated employee business expense reimbursements (non taxable). |
| M | Uncollected social security or RRTA tax on taxable cost of group-term life insurance over $50,000 (former employees only). See “Other Taxes” in the Form 1040 Instructions. Keystone Tax Solutions Pro automatically pulls this amount to the Total Tax line of Form 1040 and denotes it with code UT. |
| N | Uncollected Medicare tax on taxable cost of group-term life insurance over $50,000 (former employees only). See “Other Taxes” in the 1040 Instructions. Keystone Tax Solutions Pro automatically pulls this amount to the Total Tax line of Form 1040 and denotes it with code UT. |
| P | Excludable moving expense reimbursements paid directly to a member of the U.S. Armed Forces (not included in boxes 1, 3, or 5). |
| Q | Non taxable combat pay. See the instructions for Form 1040 or Form 1040A for details on reporting this amount. |
| R | Employer contributions to your Archer MSA. Report on Form 8853, Archer MSAs and Long-Term Care Insurance Contracts. |
| S | Employee salary reduction contributions under a section 408(p) SIMPLE plan (not included in box 1). Keystone Tax Solutions Pro pulls this amount to Form 8880. |
| T | Adoption benefits (not included in box 1). Complete Form 8839, Qualified Adoption Expenses, to compute any taxable and non taxable amounts. |
| V | Income from exercise of nonstatutory stock option(s) (included in boxes 1, 3 (up to social security wage base), and box 5). See Publication 525 and instructions for Schedule D (Form 1040) for reporting requirements. |
| W | Employer contributions (including amounts the employee elected to contribute using a section 125 (cafeteria plan) to your health savings account.) Report on Form 8889. Keystone Tax Solutions Pro pulls this amount to Form 8889. |
| Y | Deferrals under a section 409A non qualified deferred compensation plan |
| Z | Income under a non qualified deferred compensation plan that fails to satisfy section 409A. This amount is also included in box 1. It is subject to an additional 20% tax plus interest. See “Other Taxes” in the Form 1040 instructions. |
| AA | Designated Roth contributions under a section 401(k) plan. Keystone Tax Solutions Pro pulls this amount to Form 8880. |
| BB | Designated Roth contributions under a section 403(b) plan. Keystone Tax Solutions Pro pulls this amount to Form 8880. |
| DD | Cost of employer-sponsored health coverage. The amount reported with Code DD is not taxable. |
| EE | Designated Roth contributions under a governmental section 457(b) plan. This amount does not apply to contributions under a tax-exempt organization section 457(b) plan. |
| FF | Permitted benefits under a qualified small employer health reimbursement arrangement. |
| GG | Income from qualified equity grants under section 83(i) |
| HH | Aggregate deferrals under section 83(i) elections as of the close of the calendar year. |