I repaid SS benefit 9/16 ;received SSA-1099 to find that Box 4 does not have my repay amt. How shud I report benefit? Will SSA update its record n new SSA-1099 be sent?

[jjfungus]

The problem I am facing is that Box 4 of SSA-1099 (which I received 1/5/17) does not show the amount ($30K)  I repaid in Sept 2016 but Box 5 still shows I had received $30K. It seems SSA is late in updating my account.

Should I go ahead entering the amount ($30K) in Box 4 when I prepare my filing in Turbo Tax or just leave it blank. If I enter the amount in Box 4, an audit may be triggered because figures between SA-1099 and my filing mismatches.

Please advise. Thanks

[IsabellaG · Accepted solution]

You should not enter an amount for box 4 of your SSA-1099 if it doesn't actually appear on your form. Instead, you should contact the Social Security Administration here and request that a corrected SSA-1099 be issued. As you suggested, if you file your return without correcting the situation with Social Security, you may face difficulties later on.

[jjfungus]

Thanks for the advice. Called and went to SSA office to find that it may take more than 3 months for them to update my SS Account. Worst, SSA-1099 would be issued only once a year. My plan is to wait before April 15 to find out more from SSA before filing 1040.

[IsabellaG]

I hope that they correct their mistake quickly. If you know that this is the correct amount, you could consider entering the correct information, but you'd have to be prepared to explain this to the IRS if a mismatch does occur.

[Sharynls]

I have the same problem.  Repaid amounts in 2018 and have cancelled check from July 2018.  Yet SSA-1099 for 2018 doesn't show the repaid amounts.  That's over 60 days.

[jjfungus]

In my case, it took SSA over 120 days to report the unpaid amount to IRS.
In about 6 months, I received a penalty notice from IRS of not reporting the SS amount, I then had to present to IRS the cancelled check and other doc to prove that I was innocent. Finally in about 6 months, I received a letter of clearance from IRS to state that no tax was due.
Good Luck!

[Sharynls]

I did call SSA and they said that I would just have to wait until next year and that they would not issue a revised SSA-1099 showing the repayment amounts; and have to report the income as shown on their form.  Then in 2019 I could claim the repayment.  Doesn't do much good for taxes this year.  I'm wondering if I can treat it as a credit or deduction?

[jjfungus]

I took a different approach to not to report any SSA benefit for that year. Subsequently, I was able to clear any tax liability plus penalty by presenting a revised SSA-1099 with ZERO benefit received. This form was retrieved from the SSA website. But then the whole process takes more than 6 months. :(

[jjfungus]

" I'm wondering if I can treat it as a credit or deduction?'
I am afraid you will have to call up IRS to obtain the answer to this question.

[turnthecorner]

I think your approach might work for me, too. SSA is unresponsive after two phone calls to live agents and as SSA website inquiry. What SSA form did you obtain from their website? And did the IRS “see” the incorrect SSA-1099 amount when they validated your tax return?