Form 8959

[A_J]

Form 8959 has is additional Medicare Tax. Part I - Part IV are easily interpreted and applied, however Part V has an issue. Part V, line 19, adds us the total of Medicare tax withholdings from multiple W-2's. Line 21 calculates the amount owed for Medicare based on total of wages from line 1. Line 22 is the difference of amount paid versus owed. Line 24 is a reconciliation for amount paid should be added to line 17 of the Form 1040 or Form 1040-SR. This should reduce your taxes by adding the amount you already paid in Medicare taxes over and above the amount owed. I'm not seeing this amount being applied to the 1040 Form. I PERCIEVE THIS AS A PROBLEM?  Please explain

[BillM223]

"This should reduce your taxes by adding the amount you already paid in Medicare taxes over and above the amount owed."

This is not likely to ever happen, unless an employer miscalculated the Medicare taxes to be withheld.

Medicare taxes are not like Social Security taxes, in that while Social Security has a "Base" (the maximum amount of wages that is used to calculate Social Security taxes), Medicare taxation goes on forever, although it changes once it hits a certain point.

The amount on line 24 of the 8959 is always a positive number, that is, an additional Medicare tax. It will never be a refund of Medicare tax already paid.

TurboTax is doing what the IRS forms wants. 

[Ariella]

An employer miscalculated the medicare tax withholding by doubling the percentage typically withheld for medicare tax.  The error is clearly indicated on the substitute Form W-2 .  Form 8959, Part V, line 24 calculates the amount of excess medicare contribution.  Because this is an employer error, I should be entitled to add this amount to Line 17 of Form 1040.  Is there a way to get the TurboTax software to pick up this number from Form 8959, line 24 and add it into Form 1040, Line 17?

[DMarkM1]

At this time, the only current workaround with TurboTax desktop software is to override the value on the TurboTax Tax Payment Summary Line 18f, print all of the forms (including IRS Form 8959), and file the return manually. Here is a link with discussion.