I'm social security exempt. How do I file that so I don't need to pay self employement tax?

Forum|Forum|7 years ago
June 6, 2019
5 replies
0 views

I am getting charged for self-employment tax, but I am social security exempt. I'm assuming that I should be exempt from paying that tax? How would I file that in Turbo Tax Home & Business?

TurboTax Home & Biz Mac

Best answer by

You'll need to file your return by mail rather than e-file to claim your exemption.

According to IRS Publication 517 "If you filed Form 4029 and received IRS approval not to be taxed on those earnings, and you don't have any other income subject to SE tax, don't file Schedule SE (Form 1040). Instead, enter “Form 4029” on the dotted line next to Schedule 4 (Form 1040), line 57."

To do this in TurboTax desktop, switch to the Forms view and Open Form "Schedule 4". When that form populates, double-click on the line 57 amount. This will take you to the 1040 Worksheet. Click on the amount on line 57, then Ctrl+D which will turn the amount red and enter zero on that line. When you print out the tax forms, write “Form 4029” on the dotted line next to Schedule 4, line 57.

Please comment if you need additional help with this.

Anonymous

Why do you think you are exempt from social security tax?

Llewellyn11Author

Level 2

Because I filled out the Social Security tax exemption form for religious reasons. I have never paid SS as I filled the form out when I was 16 and starting to work for an employer.

fanfare

Level 15

If you are self-employed, now you are the employer.
I'm not aware of any form to claim that exemption - there may be one.
You'll have to override and file on paper via US Mail.
Then you'll have to cite your religious exemption when IRS come back asking why you used white-out on that line.

Anonymous

Answer

You'll need to file your return by mail rather than e-file to claim your exemption.

Please comment if you need additional help with this.