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Can an adjustment be made to delete the double taxation of Medicare Part B premium that is reimbursed in part by California's state employee retirement system?
California's state employee retirement system reimburses retirees a portion of a retiree's Social Security Medicare Part B premium. However, the reimbursement is treated as gross and taxable income on the retiree's Form 1099-R. Consequently, the reimbursement is included twice in the retiree's personal income tax filing--once as part of the SSA's benefit income statement and again as part of the retiree's pension distribution--thus double taxation. Can an adjustment be made to delete one of the two sources of "income"? Thank you.
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‎June 3, 2019
12:56 PM