@Flanda wrote:
I see what you are saying and I agree. The issue here is that there are three W2s for the same person (SSN)
W2 #1: spouse's name and ssn, employer EIN, SS tax withheld $9932.40
W2 #2: spouse's name and ssn, settlement fund EIN different from employer EIN (even though settlement is from employer), ss tax withheld.
W2 #3: spouse's name and ssn, same settlement fund EIN as W2 #2, ss tax withheld.
Why the settlement fund W2s show an ssn tax withheld is beyond me, but because they do and for the same person (SSN). Turbotax calculated an excess SSN tax paid in the amount of W2 #2 and W2 #3 but did not ask me to validate the EINs or review or question my spouse's employer. Is TurboTax correct? If so, I now need to prove to the IRS that TurboTax was correct, am I right?
Sorry I need to ask for clarification, your statement is a bit confusing.
What I would expect Turbotax to do is to look just at the EIN, and assume you have two different employers. If #1 shows SS tax of $9932, that is correct as far as it goes. Because turbotax thinks you have two employers, it would request the excess (#2 and #3) from the IRS. Or, if #2 plus #3 withheld more than $9932, turbotax would ask for $9932 from the IRS, and tell you to get the rest from the second employer.
Apparently, the IRS knows (which Turbotax did not) that both employers are the same, and you must request your refund from the employer rather than on your tax return.
I don't think this is a turbotax problem. It's not clear to me that Turbotax would have any way of knowing that the two EINs belonged to the same ultimate employer. The IRS knows that, but I don't know if that is something Turbotax can look up, even if it was designed to (which I don't know.)
