topic How is TurboTax software handling those who's employers didn't withhold Social Security Tax due to executive order? in Get your taxes done using TurboTax

How is TurboTax software handling those who's employers didn't withhold Social Security Tax due to executive order?

andrewcolton5041 — Tue, 22 Dec 2020 12:05:21 GMT

Re: How is TurboTax software handling those who's employers didn't withhold Social Security Tax due to executive order?

NCperson — Tue, 22 Dec 2020 12:31:48 GMT

it's up to the employer to collect between January and April; it won't be on the tax return

Re: How is TurboTax software handling those who's employers didn't withhold Social Security Tax due to executive order?

Critter-3 — Tue, 22 Dec 2020 13:04:37 GMT

What a bloody mess this will be if you are not still working for that employer in 2021 ...

https://www.kiplinger.com/taxes/601319/deferred-payroll-taxes-to-be-paid-in-2021

Re: How is TurboTax software handling those who's employers didn't withhold Social Security Tax due to executive order?

Opus 17 — Tue, 22 Dec 2020 14:52:30 GMT

The employer is required to withhold extra payroll taxes in equal installments between January 1 and April 30 to catch up on the deferred tax payments. This is not a situation that is covered on your income tax return.

I have not followed the news to see what would happen if you quit or retired, but I imagine it will end up being a mess. The latest proposed stimulus package apparently does not include forgiveness of the deferred amount.

Re: How is TurboTax software handling those who's employers didn't withhold Social Security Tax due to executive order?

Critter-3 — Wed, 23 Dec 2020 16:39:35 GMT

Per the news this AM the new bill will extend the payback until 12/31 ... what a bloody mess this will be for employer's who actually choose this option.