Social security overpayment

[tom-romano092984]

on line 71 of our return it states we are owed an amount for SS overpayment. Is this something we will receive at the same time as our federal return? And just to verify, we will be getting these funds?

[MargaretL]

Yes, the amount on line 71 is received/included with the federal refund amount that you see.  And Yes, you will be getting those funds. It is common if you had more than one employer during 2016 and your total social security tax withheld is over $7347; the program will automatically calculate the amount of excess social security and enter it on line 71; it is part of your refund.

[tom-romano092984]

We did not receive the refund with our federal return that is why I am confused

[MargaretL]

The amount of the ss excess is part of your payments toward the refund.... but if your tax due is higher than the actual payments (such as your tax withheld, refundable credits or ss excess), than you would still have tax due... it is included in your total refund/tax due calculation... but it is not a separate amount that you would get back...

[tom-romano092984]

We did not have any tax due

[MargaretL]

so your refund/tax due shows zero on your income tax return?

[tom-romano092984]

correct lines 78 & 79 show nothing

[MargaretL]

when you look at page 2 of form 1040, you do see line 71 as your payment... but the payment is calculated towards your total tax amount on line 63; the difference between line 63 and line 74 is your tax due/ refund/ or zero if calculations are as such...

[tom-romano092984]

If I subtract line 74 from 63 it is a negative amount

[MargaretL]

So you will have amount due on line 78... or if refund (which I think you mentioned is not your case) on line 76a

[tom-romano092984]

yes there is nothing due on line 78 and there is a refund amount on line 76a

[MargaretL]

So you might have other payments/credits that exceeded total tax.