I just received a letter from the IRS that my Social Security tax paid in 2020 was underreported by a bit over $1000. Does this warrant an amendment, and is it worth it?

[Critter-3]

Is this a CP 2000 notice ?    What other income did they change ?    Did you miss entering in income on the return or was it not entered on a Sch C  ?   

[Mike9241]

What you need to do

• Read your notice carefully. It explains the information we received and how it affects your tax return.
• Complete the notice response form and state whether you agree or disagree with the notice. The response form explains what actions to take. (Your specific notice may not have a response form. In that case, the notice will have instructions on what to do). You can return your response by:
  • Mail using the return address on the enclosed envelope, or
  • Fax your documents to the fax number in the notice using either a fax machine or an online fax service. Several online fax services use the internet to send files from your computer or smart device to a fax number.
• If you agree with the proposed changes, follow the instructions to sign response form. We require both spouses' signatures if you filed married filing jointly.
• If you disagree, complete and return the response form. Provide a signed statement explaining why you disagree and supply any documentation to support your statement.
• If the information reported to us is not correct, contact the business or person who reported the information. Ask them for a corrected document or a statement to support why it is in error, then send us a copy with your response.

[craho]

Thanks! I don't have the letter in front of me, I'll have to reread it in a few days. It was very scant, with no recommendations for "next steps". I'm a federal employee, and the Prez during 2020 forced us to not pay social security tax part of that year as an "assist" during COVID. We got double taxed in 2021 to make up the difference. I suspect that's the issue..