Letter from the IRS 2

[tmurphy8078]

I am self employed and filed last March expecting a significant refund. I've yet to receive it. In looking at my return I appear to have paid the full self employment tax although there is an item in Schedule C line 12e as you described above. In August I got a form letter from the IRS (letter3064c) telling me about the employer's share of Social Security tax due, zero for 12/31/21 and $503.88 DUE 13/31/22. It also states I reported a deferral of $503.88 on Schedule H of my return. There is no Schedule H on my return.

I've tried multiple times and avenues to contact the IRS but without success. HELP!

[fanfare]

for best results, stick to one thread on the forum.

[tmurphy8078]

I wasn't sure anyone got it on the other thread (I didn't get a response) so I thought I'd start fresh. Any thoughts on the question?

[fanfare]

OK you're entitled to start your own thread after trying on some other pre-existing thread.

[fanfare]

one half of the amount on Schedule C line 12e is due now, and the balance next December.

You can pay it all now and be done with it.

there is some ambiguity in the instructions/process so don't rush to pay.

If you do not pay by the 31st,  you should be getting a bill.

[Mike9241 · Accepted solution]

Turbotax can not and doesn't have the ability to contact the IRS on your behalf. the reference to schedule H is because it's a generic form that covers both schedule H and SE though a taxpayer may have 1 but not the other

look at schedule SE line 26. this is the amount deferred. this carries to schedule 3 line 12e not schedule C line 12e. we can't see the letter. actually, the payment for 21 (50%) was deferred until 1/3/2022 and for 22 (505) until 1/3/24. for further assistance try contacting Turbotax support

5am-5pm Pacific Time (8-8 Eastern) Monday - Friday
https://support.turbotax.intuit.com/contact

800-446-8848

[Critter-3]

Look at schedule SE line 26... this is the amount that was deferred... this carries to schedule 3 line 12e.  

So did you originally have a refund on the return and the IRS kept it ?  If so it paid down the deferred SE taxes which could be why the IRS says you don't owe anything this year.  

[fanfare]

@Critter-3 

"[IRS] paid down the deferred SE taxes"

never heard of that one before.

[Critter-3]

@fanfare 

Early in the season the TT program was  incorrectly allowing  users defer SE taxes and still get a refund but the IRS stopped the refund and paid down the deferred SE taxes so there was less to defer to 2022. 

[tmurphy8078]

Thanks Mike, this was helpful.

I hate to get so specific but I think I must. Line 26 of Schedule SE shows $8,537. It then refers to Schedule 3 line 12e which shows $5,328.

Neither match up with the IRS letter which refers to $503.88 due 12/31/2022. You are right though, in reading the letter closely the refer to both Schedule H and SE, it really threw me when the letter referred to employer's share of Social Security tax but I guess they're trying to kill two birds with one stone.

At this point I guess I'll just pay the $503.88 and have done with it.

Thanks.

[Critter-3]

When you are SELF employed you are the employee and the employer and you have to pay the SE taxes for both sides of the equation.  

I GOT A LETTER FROM THE IRS   

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