Do it have to have my previous tax returns for For my lump sum payments on SSA1099?

[SabrinaD2]

You don't necessarily need your previous tax returns to report your lump-sum Social Security payments (SSA-1099), but having them can make the process easier if  you plan to  use the lump-sum election method to potential lose your taxes.

 

Key Points:

1. Current SSA-1099: Look at Box 5 for the total benefits received, including the lump-sum payment
2. Previous Year's Tax Returns: Helpful for finding your income and any taxable Social Security benefits reported in those years if you plan to use the
   1. Lump-Sum Election Method:
      • Refigure the taxable part of the lump-sum payment for the earlier year using that year's income
      • Subtract any taxable benefits for that year that you previously reported
      • Add the remainder to the taxable part of your benefits for the current year

For more details, you can refer to the IRS guidelines on Back Payments and Publication 915.