Get your taxes done using TurboTax
Thank you so much AmyC ! I appreciate your help and advice.
As per my understanding, I think I did the same as you wrote. Please find the screen shots below and kindly let me know what I mis-undestood or missed.
W2 entries (Example)
- Box 1: 0
- Box 2: 0
- Box 3: 38778.25 (Social security wages)
- Box 4: 2404.25 (Social security tax withheld)
- Box 5: 38778.25 (Medicare wages and tips)
- Box 6: 562.28 (Medicare tax withheld)
- Box 12a: II : 38778.25
- Box 14: CA-SDI: 426
TurboTax entries:
1. Put your box 3 information in box 1 and
2. Keep your box 3
Please note: TT W2 import did not pick up the value in Box 12a, but I left it empty as suggested.
3. mark uncommon situation,
4. select difficulty of care,
5. enter full box 1 amount.
Screen: Let's check for uncommon situations:
Did you get any difficulty of care payments that aren't in box 1? (This includes payments in other boxes or that aren't on your W-2:
- NO (chose )
Question: Above entries are resulting in credit for ) Medicare Box 6 (Form 8959 line 19) : Added (line 23 of 1040), Excess Social Security Withheld : Added W2 Box 4 (1040 line 31, 32) and CA VPDI from box 14 (540 CA adjustments Line 5a Col B)
Please confirm if that would be acceptable by IRS to take those credits though the income is non-taxable.
Form 1040:
Below are the lines in 1040 where TurboTax is adding those credits:
a) Social Security withheld = 2,404 (IHSS Box 4)
b) Medicare tax withheld Box 6 (Form 8959 line 19) entered into line 25 c of 1040
Below in 540 California Adjustments: Section: Taxes you paid:
c) CA SDI: Box 4 of W2 426.567 added to Line 5a Col B: State and local income tax withheld
