I changed jobs midyear. Two different employers in two different states each withheld the maximum Social Security ($9,932). Since the IRS will receive this withholding information on the two separate W2 forms, will they automatically credit me, since double the maximum was already reached with the first employer? Or must I fill out a form of some kind?
TurboTax pointed out the double withholding, but is vague about what steps, if any, are needed to claim a refund from the IRS.
The pop-up states: "When you file your tax return the following year, you can claim a refund from the IRS for Social Security taxes withheld that exceed the maximum amount."
Thanks.
Since your situation was caused by two separate employers, the excess amount will be calculated by TurboTax and refunded to you as part of your tax return. The excess amount will show on Form 1040 Schedule 3 line 11.
Take a look at the following TurboTax help article to learn more:
The excess will appear as a tax credit on Line 11 of your Form 1040, Schedule 3. The total from Schedule 3 Line 15 will flow to the Form 1040 Line 31 as a tax payment.
The excess amount will be included in your federal tax refund or it will reduce the amount of federal taxes owed.