Diagnosis
You have selected both the Reprint option for W-2 employeecopies and the Magnetic tape checkbox for form output.

System Response
You cannot reprint employee copies while creating magnetic tape files.

Procedure
If a magnetic tape file has already been created, then deselectMagnetic tape and select Reprint to reprint W-2 employeecopies.
If a magnetic tape file has not been created yet, then deselectReprint and select Magnetic tape to generate the form.