Schedule 2 Line 6 Additional Tax

[jimmy5609]

I have an amount on Schedule 2 line 6 [Additional tax on IRA, other qualified retirement plans, and other tax-favored accounts] but I can find how this additional tax is being calculated or where it is coming from.  There is no Form 5329 completed.

Help appreciated....

[NCperson]

are you under 59.5 years old and did you take a distribution? 

what is the code on form 1099-R in Box 7? that is what normally drives the additional tax

is the additional tax 10% of the distribution? 

[jimmy5609]

We are both over 60.

There is no 1099-R

It has something to do with Box 12 on W-2.  HSA contributions (Code W). On my W-2 I had $2100.  Spouse has $1000. 

I changed the amount to $1.00 each and the additional tax is now $0.00

[NCperson · Accepted solution]

oh- did you have an HSA - for some reason TT thinks you over contributed.  DO NOT CHANGE THE W-2.  

The contribution limit is $8100 for family (since you two are over 55) and another $1000 if you set up a separate plan for the other spouse (since both are over 55).  So something is amiss with what you entered as long as you contributed less that this amount

did you have a high deductible medical plan? open form 8889 and look at Line 1 - I think that response may fix it.  

there is another place in the interview process where TT will ask whether you contributed to an HSA - DO NOT list anything that was part of you pay check Box 12 - it is asking only what you may have sent directly to the HSA administrator outside the paycheck.

[jimmy5609]

Thank you very much!!!!

I checked "Family" on both Form 8889 line 1 and  I also found out I needed to mark Family for each month on both forms.   This fixed it....

Again, THANKS!