how to report paid deferred benefits?

[jcaraballo1]

Hello

I was released from my job in 2020. I had an international assignment from 2012 to 2015.

This assignment had a benefit called "deferred benefits" including an "International Staff Profit Sharing" in which I invested, a health insurance payment after leaving the company, and a severance complement.  Although I was released in August 2020, this money was deposited in my US account at the end of January 2021.

I did not pay any taxes in 2020 for this, and the company did not make any retention. How should I report it this year?

thank you

[PatriciaV]

Yes, most of your deferred compensation is considered Wages for Federal tax purposes. If the company did not provide a W-2 (check with them if you did not), you can enter this under Miscellaneous Income >> Other income not already reported on a Form W-2.

Both the Profit Sharing and Severance pay should be reported as wages. The health insurance payment is also wages, but you should report any premiums you paid under Deductions & Credits so you receive the benefit from paying for health insurance.

Additional Info:

• IRS Topic No. 401 Wages and Salaries
• IRS Pub 17 - Income

[jcaraballo1]

PatriciaV

thank you very much.

I am still confused.  Under 1099-MISC and Other Common Income, I see only options that require a form (1099G, 1099-NEC, 1099-MISC, 1099-K), there is no option for reporting an income without a form.  The company deposited the money and sent me a letter saying we deposited the money and you must deal with your local taxes. This office is in Dubai and they do this for any employee working in any Country who, like me, had at least one international assignment at some point 

This was money put by the company on my behalf in a fund and it gained some value over the years.

would you please be more specific with the line where I should report it? the options shown by TurboTax are

- state and local tax refunds on Form 109-G

- Other 1099-G income

- Income from Form 1099-NEC

- Income from Form 1099-MISC

Income from Form 1099-k

Under Interests and Dividends, I see the following:

- Interest on 1099-INT

- Dividends on 1099-DIV

- 1099-OID, Foreign Accounts

- Interest from Seller-Financed Loans

thank you very much

[RobertB4444]

At the bottom of 'Wages and Income' is 'Less Common Income'

At the bottom of 'Less Common Income' is 'Miscellaneous Income'.

For each item you enter into that area you need to write a description.  Just as you described it - deferred benefits, international staff profit sharing, etc.