Beginning with the 2013 tax year, you have to file Form 8959 if the Medicare wages or RRTA reported exceed $200,000 for single filers or $250,000 for joint filers. It is an additional .9% on top of the .0145 that your employer already took out on your W-2, box 6 amount.
The Additional Medicare Tax only applies to the portion of your employment, self-employment and railroad retirement earnings that exceed the income thresholds for your filing status. You can find these thresholds in the instructions for Form 8959.
For tax year 2019, for example, if you are married and filing jointly, the tax only applies to income that exceeds $250,000 in combined earnings. On the other hand, if you were married filing separately, you could end up owing more tax, because the threshold is only $125,000.
Details of the calculation - which is correct in your case - What Is Form 8959: Additional Medicare Tax
The Additional Medicare Tax is charged separately from, and in addition to, the Medicare taxes you likely pay on most of your earnings. The tax applies to wages from employment, self-employment income and railroad retirement income, but if you are receiving W-2 income, the tax will most likely be withheld from your wages. Either way, anyone subject to the tax is required to file Form 8959 with their annual income tax filing.
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