Incorrect HSA on W2, Delayed W2C

[koalafighter]

In mid-February, I noticed that there was an error on my W2. My employer listed an HSA contribution of $115, however, I never contributed to any HSA through them. They have no record of that money going anywhere into any HSA account, but it was taken from my pay. Unknowingly, throughout 2022, I contributed the max amount (with post-tax dollars) to my own HSA with my own bank. I also switched from an HDHP to PPO this year, so I can't even roll over money to this year's HSA contribution. Now, I'm considered to have "over-contributed." 

I contacted my employer on Feb. 20th and on March 2nd, they let me know that a corrected W2 would be sent out by ADP. It is now March 23rd, and I still have not received it. They are slow to respond, and no one seems to know where this form is. To make matters worse, our company was recently acquired by another company and my previous company only had one HR person. The new company has no idea what transpired in 2022 so they cannot help.

I don't want to "rat out" my employer by calling the IRS, but what else can I do? Do I just fill out Form 4852, and hope it's correct? Do I file as is, pay the $6 in taxes and make an amendment later? Or would I be better off filing for an extension? 

[JohnB5677 · Accepted solution]

Timing is everything, and you have to find out where the HSA money went.

• You are not "ratting out your employer" if you're asking a legitimate question.
• I suggest you make a final contact with whoever has contact with the original payroll company.  Then proceed to the IRS.
• I have had more success contacting the local office.
• You can call toll-free at 1-800-829-1040 or contact a Taxpayer Assistance Center Local IRS Office.
• I suggest completing your taxes as the W-2 currently is posted.
  • If you owe a tax, pay it, including the $6.
  • You can then decide to file an extension or file an amended return. (Both are correct.)
  • An extension will give you until October 18th, 2023, to file your return.
  • You have 3 years from April 18th, 2023, to file an amended return for 2022.

To file an extension:

On the sidebar go to:

1. Tax Tools
2. Then select Tools
3. In the four green boxes select Tax Topics
4. Type extension
5. Need More Time to File Your Return?
6. Select Start Easy Extension
7. This will give you until October to file.

If this does not completely answer your question, please contact us again and provide some additional details.
 

[Mike9241]

are you in a rush to file for some reason? there are still more than 3 weeks to go before the return is due so perhaps waiting a little longer is best. if you get the w-2c in time then you save $6 and the need to amend or avoid the need to file an extension. i wouldn't wait til the 18th but perhaps file on the 14th. you never know until the return is submitted whether it will be accepted or rejected.  

[koalafighter]

There's no rush other than my innate desire to finish things early. I've never been one to wait until mid-April to file, so I'm a little on edge. I'm also concerned that ADP claims to have sent it 20 days ago, but no one at my employer has been able to reach them for an answer. I plan on waiting until the 14th or so, but I like to be prepared for the "worst-case scenario" in which it will take several more weeks to receive it.

[koalafighter]

Thank you. Before credits and deductions, I may owe a small amount of self-employment income. However after all those credits and deductions I am getting a refund. Do I still need to pay something in addition to filing an extension, or is the final number with credits/deductions all that matter (ie I owe nothing)?

[AliciaP1]

The final number after your credits and deductions is what matters.  If you do not have an amount due listed on your 1040 line 37 you do not need to make a payment by 4/18/23.

@koalafighter