updated W2 and extension filed with payment

[vze56v6x]

My original W2 showed that there was an overpayment in social security and my employer owed me about 300$

While I waited for them to correct the W2 I filed an extension and paid the amount owed to the IRS.

I received a corrected W2 and the social security section is now $300 less than what was originally on the 1st W2 where the turbo tax software was stating my employer over paid me.  How will I get this $300 back???

Also when filing my taxes how do I report that I paid my taxes to the IRS originally incase I am now owed money back?? Shouldnt the software ask me if I paid taxes already?? It does not give me any indication its recognizing I filed an extension and previously paid.

[rjs · Accepted solution]

When an employer withholds too much Social Security tax, you have to get the excess back from the employer. Your employer should pay you back the $300 that they mistakenly withheld.

You have to enter the amount that you paid with extension in TurboTax. To enter the payment you made with your extension, type "estimated tax payments" (without the quotes) in the Search box, then click the link that says "Jump to estimated tax payments." That takes you to the screen that says "Estimates and Other Income Taxes Paid." Scroll down a little to the second section, "Payments with Extension." Click the Start or Update button for "Payment with 2021 federal extension.

[bosso3]

I am not an expert but I think I can point you in the right direction.

It seems you have multiple questions.

1) How to report your payment to the IRS that you made when you filed your extension.

2) How to resolve the confusion about the extra $300 reported on your original W-2.

Answering #1:

I believe you report the amount you paid with your extension on Form 1040,  line 26:  2021 Estimated tax payments. 

In Turbotax this is done by:  Federal Taxes  >  Deductions and Credits

Scroll down and find the heading "Estimates and Other Taxes Paid"

Find the line titled "Estimates" and click the "Start" or "Update" button on that line.

Follow the conversation.

You can check your results by viewing the "Forms"  Form 1040 to ensure the amount show correctly on line 26.

#2)  I'm not sure if the $300 was a change to Form W-2 box 3 or box 4 or both.  I'm also not sure if your employer actually withheld $300 too much, or just reported an incorrect value on your original W-2. 

Check your final 2021 pay statement for the YTD amount of Social Security withheld by your employer.  If they withheld too much, you may need to get reimbursed from them.

If the original W-2 simply printed the wrong number and the corrected W-2 now matches your final 2021 pay statement, there is no "missing $300".

As I mentioned at the beginning, I am not expert on this.  I hope it helps.

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