I received a letter from the IRS saying I owe one half the Social Security portion of my self-employment taxes from Shedule SE. How do I determine the amount owed?

Schedule SE shows the amount of the tax for self-employed on Line 13. Also shown on Schedule 1 line 14.

https://www.irs.gov/pub/irs-prior/f1040sse--2020.pdf

 

Hi Pablopabo,

 

Thank you for your question today.

 

You will need to review your 2020 tax return where the Self-employment Tax Deferral was elected.   You can find the amount in a couple of places.  It is the same calculated numbers, just a couple of different locations on your tax return you can find it quickly and easily.

 

Option 1:  The first option is Schedule SE, Self-Employment Tax,  Part III Maximum Deferral of Self-Employment Tax Payments (this section is located on the top of the second page of this form).  Go to line 26.  The number on this line is the TOTAL DEFERRED SELF EMPLOYMENT TAX you still owe.  You must pay one-half of this amount by December 31, 2021 and the remaining one-half by December 31, 2022.

 

Option 2:  Look at Schedule 3 of your tax return, Part II Other Payments and Refundable Credits, line 12e Deferral for certain Schedule H or SE filers.  This is the same number as above.   The number on this line is the TOTAL DEFERRED SELF EMPLOYMENT TAX you still owe.  You must pay one-half of this amount by December 31, 2021 and the remaining one-half by December 31, 2022.