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New Member
posted Feb 26, 2024 11:26:32 AM

Bonus Payback IRS guidelines

Hi,

 

I will be filing my taxes with turbo tax. Last year I was issued a sign on bonus for the year 2023 and when I left the company in 2024 I paid the bonus in full minus the SS and Medicare.  The company I left is refusing to issue me a corrected W2 for the year 2023. Instead they are issuing me a signed letter saying that I paid the bonus in full minus the SS and Medicare.  Is this a valid thing or the employer is required to correct my W2 for the year 2023. 

 

Thank you

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1 Replies
Expert Alumni
Feb 26, 2024 11:36:38 AM

In this case, your employer isn't required to file a corrected W-2 for 2023.

 

Your repayment in 2024 is a claim of right repayment. You can only report it in the year you‌ repaid the claim.

 

If your repayment is less than $3,000, you'll claim it as a Miscellaneous itemized deduction in Schedule A.

 

If the repayment is more than $3,000, please read this TurboTax Help topic on how to make the claim.