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GMU
Returning Member

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

I'm getting the same message. My W2's are entered perfect and BOX 4 is exactly 6.2% of BOX 3.

I'm hoping its a bug.  I plan on giving it a week or two to see if an update fixes it.

DaveF1006
Expert Alumni

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

I would ignore this as this will not affect your overall tax return and won't prevent you from filing. Don't be surprised if you don't receive a W2C despite what the screen says.

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MATY
New Member

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

I also get the annoying "Heads Up! You have a w2c coming" message. The suggested Covid fix didn't work. My box 4 numbers are correct and doesn't look like I have a rounding issue.  

I hesitate to submit because I don't want to have to go back and re-submit later. I BUY TURBOTAX SO THAT IT IS RIGHT THE FIRST TIME. 

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

 I'm going to file and ignore the warning - this is a bug that TT should have caught-  I worked for 1 employer  that took SS taxes and the deferred amount is .13 ! (I rounded down).

 

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

I'm getting the same warning, even though my Social Sercurity taxes where not deferred (exactly 6.2%).

vmc8
New Member

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

I am suddenly getting the same message, which wasn't there when I worked on my taxes a couple of days ago.  All social security taxes have been paid.  Using Turbo Tax Deluxe ,download version and it did an update today.

 

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

Y'all can ignore it.  The notice doesn't stop your filing.

IT doesn't affect your taxes either, and if box 4 does have the proper value in the software...you won't be getting a W-2C (At least not for that)

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
JAH42
New Member

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

This must be a bug in the latest update as I got this message as well starting yesterday.   

 

This is an informative message, so it seems like whatever check is being used to see if your company deferred tax withholding is incorrect.    While I understand that won't impact filing, it doesn't inspire a lot of confidence that the calculations that do matter are correct.

 

I switched back to Turbo Tax because H&R had bugs in my state calculations in a previous year, but I guess I'll consider both again next year.

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

@JAH42 

 

This year will be a particularly bad year for bugs...no matter which software provider you use.   All this COVID stuff, and late actions in Congress, and a couple states (MD, DE in particular ) has mucked up everything to no end.

 

I have no idea whatsoever as to whose software package will be "mostly" bug free before the others.  Best to wait until Mid-to-late March to file anything no matter whose software you choose to use.

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

This worked for me also - THANK YOU!

 

brennandog
Returning Member

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

I'm getting the same issue with respect to the W2-C -- wasn't getting it in final review until today and haven't changed anything (TT did do an update). I also have 1099 NEC's -- but that has nothing to do with my employer and my W-2's. I also tried to go back and change my answer to "No" to the deferral of SE Tax and it won't change it - continues on with how much to defer, etc...ignoring my answer ...same issue with annualizing income (can't undo the quarterly  estimates that are no longer applicable)  Also still waiting for TT to update the underpayment form - "coming soon".  All and all, I have been very disappointed in TurboTax this year - they have  glitches - in Interview and lack of probing follow-up Q's - that should send you left or right depending on the answer like linking 1099-NEC to C and generating  SE Tax, also issue with restarting/deleting forms - unlike previous years..not sure they were ready to go live

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

I have same problem. I did not qualify to defer any SS tax but TT thinks that I did. This bug is disconcerting. I hope it will be resolved in a future update very shortly. I'll wait to file until I get a clean review with no errors or warnings. 

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

Same problem. Verified 6.2%

KathrynG3
Expert Alumni

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

  1. Yes, if you have fully paid and reported Social Security and Medicare tax, you can disregard the W-2C alert. 
     
  2. Yes, you are correct. Form W-2C is for wages and would have nothing to do with Form 1099-NEC.
     
  3. Regarding your deferral of SE Tax, this has likely occurred because initially, before you were in a refund situation, the tax could be deferred. However, when all the details were added, you were no longer eligible for the deferral. 
    1. There is a workaround for this so that you will get to the screen to turn off the deferral. Follow these steps:
      1. Enter a temporary amount as income in the self-employment section that will result in you not having a refund.
        1. From the left menu, select Federal.
        2. From the Income & Expenses, scroll to Self-employment income & expenses and Edit/Add.
        3. At Your 2020 work summary, select Edit.
        4. Under INCOME, select Add income for this work.
        5. Add Other self-employed income, includes 1099-K, cash, and checks and Continue.
        6. At Type of income, enter Temp income to remove deferral and enter a large amount, such as $100,000 and Continue.
           
      2. Decline to defer any self-employment tax.
        1. From the left menu, click on Federal.
        2. Click the second tab from the left, Deductions & Credits.
        3. Scroll down to Tax Relief related to Covid-19 and Revisit.
        4. Select Self-employment tax deferral and select Revisit.
        5. Answer Yes at the next screen to get back to Let's start by getting your eligible income.
           
        6. ​​​​​​​Enter 280/366ths of your income to reflect the income from March 27-December 31, 2021. 
          1. This amount should be the same as the correct amount on Line 18 of Sch SE.
        7. Select Continue.
        8. At Tell us how much you'd like to defer
          1. Enter 0.​​​​​​​
      3. Remove the temporary income.
        1. ​​​​​​​From the left menu, select Federal.
        2. From the Income & Expenses, scroll to Self-employment income & expenses and Edit/Add.
        3. At Your 2020 work summary, select Edit.
        4. Under INCOME, select the Trash can icon next to Temp income to remove deferral and Continue.
    2. For more details, see TurboTax Expert @DawnC's answer here, about 2/3 down the page: Resolve Sch SE-T Max Deferral Line 18 must be entered.
  4. Regarding Form 2210, try deleting it after the changes described above. Then, run through the review again to make sure everything is fully updated.
    1. See: How do I view and delete forms in TurboTax Online?
    2. How do I add Form 2210?
  5. Yes, Form 1099-NEC should be linking to Schedule C so that Schedule SE is generated. With the significant changes impacting individual income tax with COVID-19 legislation and other very late changes at the federal and state levels, there are many aspects people would have no reason to realize unless it impacted them directly.

 

@brennandog

@startzell

@suming

Anonymous
Not applicable

Turbotax: "You have a W-2c coming. Since you deferred some of your Social Security taxes last year,..." Both my W-2's have maxed-out SS income/withholding, a problem?

i think I'll just ignore the "heads-up W2c" message.  It's easier

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