How to address incorrect W2 Box 12b?

[dragon2023]

For tax year 2022, my W2 incorrectly shows $8,000 in W2 on Box 12b.

While my HSA yearly-contribution only shows $7,000 which is correct.

Question> How do I correct this through turboxtax?

I can only think about the following two options.

Option 1> File the tax with incorrect W2.

Option 2> File extension and wait for correct W2.

Can someone give me a suggestion?

Thank you

[JamesG1]

Hopefully, your corrected W-2 will be received soon.  No real options other than what you outlined.

Option 1

If you file an IRS form 1040 Federal tax return on a timely basis with the incorrect W-2, you will receive any refund that you have computed.  

If you owe on your IRS form 1040 Federal tax return, you will have made payment on a timely basis.

Eventually you will have to amend the 2022 tax return and report the corrected W-2.

Option 2

If you file an extension and wait for the corrected W-2, you will still have to make payment on any balance owed.

If your IRS form 1040 Federal tax return is reporting a refund, there is no penalty for filing after April 18.

You will not have to prepare an amended 1040X tax return.

@dragon2023 

[Opus 17]

Let's make sure we are talking about the right thing.

Box 12a, 12b, 12c, and 12d are for reporting various tax items, but they can contain anything and be in any order.  Only an item with code W is your HSA contributions.

If your box 12 code W reports an incorrect HSA contribution, you need to get a corrected W-2 from your employer.  There is a procedure to submit a "substitute W-2" with different information, but that raises audit risk and should not be used unless your employer refuses to issue a corrected W-2.    If your employer has agreed to issue a corrected W-2 but you haven't received it yet, the best thing to do is to get an extension and wait to file your return until the corrected W-2 is received. 

[dragon2023]

Hello all,

I am thinking about entering my W2 with correct 12b number manually into TurboTax and then get the EXACT amount I own IRS. Then I will file extension with federal and state with the correct payments.

Later, after I receive the correct W2, then I can file my tax return with extra information that shows I have paid the tax ahead of time.

Question>

Does TurboTax offer a function that I can enter the payment I paid ahead of time when I file my extensions?

Thank you

[BillM223]

You should take Opus' advice and file an extension. By filing with a modified code W amount, you raise the risk that the IRS will wonder why you changed the code W from the copy that they have (your employer has already sent a copy of your W-2 with the wrong code W amount to the IRS).

Nobody wants to draw extra attention from the IRS, even of the attention is just a letter wondering why you did what you did.

Just file the extension, then when you get the corrected W-2, then file your original and correct tax return.