I'm preparing taxes for a disabled friend.
He received an SSA-1099 with $44,332.00 in box #5. Box #3 shows same amount with an asterisk.
The description of amount in box 3 says "paid by check or direct deposit $44,332.00" and "benefits for 2019 $44,332.00"
The asterisk states "includes $17440.00 paid in 2019 for 2018.
Do I enter the $44,332.00 or do I subtract $17,440.00 and enter $26,892.00 which reflects his benefit for 2019 ?
Follow these directions:
Down the left side of the screen, click on Federal.
Across the top of the screen, click on Income & expenses.
Under Your income and expenses, scroll down to Retirement plans and social security.
Click on Show more to the right.
Click on Start/Revisit to the right of Social Security (SSA-1099).
At the screen Tell us about the benefits you received, enter the information as it is printed on the form.
At the screen Did you receive any lump-sum payments?, click Yes.
In your example, the year was 2018 and the amount was $17,440.
You will have to answer questions about the person’s 2018 tax return.
Follow these directions:
Down the left side of the screen, click on Federal.
Across the top of the screen, click on Income & expenses.
Under Your income and expenses, scroll down to Retirement plans and social security.
Click on Show more to the right.
Click on Start/Revisit to the right of Social Security (SSA-1099).
At the screen Tell us about the benefits you received, enter the information as it is printed on the form.
At the screen Did you receive any lump-sum payments?, click Yes.
In your example, the year was 2018 and the amount was $17,440.
You will have to answer questions about the person’s 2018 tax return.
Go to Federal> Wages & Income>>Retirement Plans and Social Security (SSA1099 and 1099RRB) to enter your SSA1099.