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morton771
New Member

Why do I have a Form 8959 when my income is less than the 250,000 threshold?

The Form has automatically been added, forcing me ti upgrade to Deluxe. I have tried to delete the form and it is still not working. Our income is 221,032 which is under the married filed jointly threshold amount of 250,000.
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3 Replies

Why do I have a Form 8959 when my income is less than the 250,000 threshold?

the additional medicare tax is not based on taxable wages or income but medicare wages reported on all your and your spouse's w-2s in box 5. You may have had excess medicare taxes taken from your paychecks. any excess would be reported on the form 

morton771
New Member

Why do I have a Form 8959 when my income is less than the 250,000 threshold?

We have one W-2 and box 5 is 196,457--still under the 250,000 threshold. 

BillM223
Expert Alumni

Why do I have a Form 8959 when my income is less than the 250,000 threshold?

OK, so what is your other income? You said you have a W-2 with 196,457, but that your income is 221,032 - where does the other money come from?

 

Do you have a Schedule C? Any taxes reported on Schedule SE contain Medicare taxes that would be added into the mix.

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