DianeW777
Expert Alumni

Deductions & credits

Yes. This situation is not common and therefore as a rule it would take two W-2s with different EINs to automatically receive the credit for excess FICA payments on almost all returns.  Since a certified professional employer organization (CPEO) is being utilized by the two different employers you worked for, then only one W-2 is issued and thus creates a need for manual intervention.  

 

Option 1: Paper filing. It is because of this situation and the need to file the letter with your return that you can choose paper filing instead of e-file.

  • This can be accomplished in the TurboTax CD/Download version only as instructed earlier and placed here for convenience.
    • TurboTax CD/Download Switch to Forms (upper right), select "1040/1040SR Wks" and scroll down to Schedule 3 Line 11. Just above that line there is "Excess Social Security Smart Worksheet" where you can override the amount and it should flow to Schedule 3 Line 11. You should also see it reflected in Line 31 of Form 1040. 
    • How do I switch from TurboTax Online to TurboTax CD/Download?

Maybe the IRS will develop a plan for this in the future since they have dedicated information pages to this situation.

Option 2: File your return through e-file without the excess social security tax. Instead complete Form 843 to obtain your refund for the overpayment of your excess.

 

Be prepared with the following statement:

Attach a statement from the . The statement should indicate the following.

  • The amount, if any, the employer has repaid or reimbursed you for excess taxes withheld.
  • The amount, if any, of credit or refund claimed by the employer/CPEO or authorized by you to be claimed by the employer/CPEO.

The employer/CPEO should include in the statement the fact that it is made in support of your claim for refund of employee tax paid by the employer to the IRS.

 

@bearinman27 

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