No, the form itself only has room for two. If the employee has more than 2 local taxes, the program will create a second W-2 that only lists the additional locals.
Several states impose a local income tax in some areas. This means employers will need to address those locals on each version of the W-2, indicating to the state, federal government, and employee the amount of local tax withheld from paychecks. This is especially important if the employee or business has moved in the most recent tax year. AMS products include tax tables that are extremely helpful in situations like this, especially if you’re unsure of whether your area imposes additional local taxes. Even if you need to generate a second W-2 to include more than 2 locals, rest assured that you’ll have the right calculation.