EXCESS SOCIAL SECURITY TAX DUE TO IHSS AND OTHER JOB CAUSE REJECTION. HOW TO FIX

[user17744649323]

I HAVE A REGULAR JOB AND CARE FOR MY PARENTS THAT LIVE WITH ME UNDER IHSS. MY RETURN IS SHOWING AN AMOUNT IN SCH. 3 LINE 11 AS EXCESS SOCIAL SECURITY PAYMENT. MY RETURN WAS REJECTED. HOW DO I FIX THAT?

[Mike9241]

where is the excess coming from?

your w-2 should ony reflect social security taxes based on that compensation

any compensation received for the in-home care for your parents would normally not be subject to these withholding taxes. so please clarify your situation 

schedule 3 line 11 is for excess tier 1 social security withheld under the Railroad Retirement Tax Act. 

[user17744649323]

it looks like they are withholding social security taxes from IHSS income. They are not withholding federal. That creates excess. It was the same last year, but last year, I had no problem reporting it the same way. this year, it let me e-file, but the return got rejected with the description : If Schedule 3 Form 1040 "ExcessSocSecTaxAmt has a non-zerovalue, then at least two Form W-2s with the same EmployeeSSN must be present in the return. I do have two forms W-2 for myself, one from my main employer and the other from IHSS. How do I fix it?

[MonikaK1]

Does your W-2 have a zero in Box 1, but has numbers in Box 3 and Box 5? If so, then you can follow the instructions below from this help article:

I received a W-2 with zero in Box 1 and amounts in Box 3 and Box 5

If your W-2 includes a zero in Box 1 for tax-exempt Medicare waiver payments from In-Home Supportive Services (IHSS), you should request a corrected W-2 as your payments should only be reflected in Box 12.

If you can't get a corrected W-2, follow these instructions:

1. Navigate to the Wages & Income section and scroll down to Less Common Income. 
2. Select Start next to Miscellaneous Income, 1099-A, 1099-C.
3. Select Start next to Other income not reported on a Form W-2 or Form 1099.
4. Select Nontaxable Medicaid waiver payments not reported on a W-2 or 1099 on the screen Types of wages you received. 
5. Enter your total Medicare waiver payments on the screen Certain nontaxable Medicaid waiver payments not reported on Form W-2 or 1099.

You might consider asking the agency that is making the payments as to how they determined that the nontaxable income was subject to Social Security taxes.

@user17744649323