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Why am I being taxed (Part II Other Taxes 17K Golden parachute payments)?

14K on my W-2 is for pretax vision and Dental deduction.
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3 Replies
DMarkM1
Expert Alumni

Why am I being taxed (Part II Other Taxes 17K Golden parachute payments)?

It sounds like a box 14 code K entry, which is informational only, has been entered as a box 12 code K for excess parachute payments.  Revisit the W2 topic and verify the box 12 and box 14 entries.  

 

The category for a box 14 code K is "Other (not classified)" and does not affect the tax calculations.

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Why am I being taxed (Part II Other Taxes 17K Golden parachute payments)?

This error was not identified until 1040 was submitted.  Will this error affect the amount that is due for taxes and how do I reconcile this with IRS.  I appreciate your advice. 

 

 

JulieS
Expert Alumni

Why am I being taxed (Part II Other Taxes 17K Golden parachute payments)?

If your tax return was already submitted and accepted, you will need to amend your tax return. 

 

If you had a balance due, that is not yet paid, you can pay the amount due after your amendment, but before April 18. If this is the case, you need to answer that the original amount is not yet paid when you do your amendment.

 

You should wait until after you receive your refund, or if there is an amount due, three weeks after your return was accepted. 

 

When you are ready to amend, if you used TurboTax Online:

  1. Log in to your account and select 2022, then Amend using TurboTax Online.
  2. Answer the first few questions, then select your reason for amending.
  3. Edit your W-2 information. As DMarkM1 pointed out, this is an incorrect entry in box 12 of your W-2. 
  4. Continue until you have answered all of the questions, including the explanation for the amendment. Do not submit your amendment until your original return is processed.
     


If you used our CD/download product:

  1. Sign back into your return and select “Amend a filed return.”
  2. Answer the first few questions, then select your reason for amending.
  3. Edit your W-2 information. As DMarkM1 pointed out, this is an incorrect entry in box 12 of your W-2. 
  4. Continue until you have answered all of the questions, including the explanation for the amendment. Do not submit your amendment until your original return is processed. 
     
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**Mark the post that answers your question by clicking on "Mark as Best Answer"
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