It is not too late to issue a corrected W2. And yes, you should file an amended return that shows that you took out the $250. You should not be paying taxes for someone else's mistake. And if you don't amend the return the penalty will be on your 2025 tax return as well.
@tinktank
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
