@Dhebij , thank you for your response,
Based on my understanding of US-Germany treaty of 1986 & update thereof of 2006, article 19 pretty much requires (a) that US Social Security benefits received by a resident of Germany can only be taxed by Germany and (b) that Germany treat this US Social Security benefit as if it were distributed by German Social Security equivalent for tax purposes.
In your case this is problem #1 and the only action you can take is file a return with Germany recognizing this income for future ( and perhaps for 2023 and 2022 ) . This also does mean that you have to file amended US return for those years ---- you just add a "negative income" as other income and under comments say " income excluded per article 19 of US-Germany Tax Treaty "
Problem #2 is what to do with all the years that are beyond "rtefund" for the US tax filings. The treat does not call pout any corrective actions. So taking the view that (a) not aware of the requirement of 2006 treaty / not intentional disregard of the rules and (b) having paid the due taxes to one country ( by mistaken action ) --- just let "sleeping dogs lie snoring" --- ignore the issue but take all corrective actions for the future..
You are thereby in a way claiming that you would be irreparable harmed by correcting German returns and not being able to get a refund from US. Note here also that for most tax treaties, govt. payments by one party is taxable ONLY by that country , thus supporting lack of knowledge. / expectation.
That is my view.
Ref == > Germany - Tax treaty documents | Internal Revenue Service (irs.gov)
Is there more I can do for you ?
pk
