what happen if you choose maximum sep ira contribution and irs modifies return?

So i checked "maximize" SEP contribution. What if after submitting/eflling my return and irs modifies the return?

if modification cause the reduction in sep contribution? what will happen to my contribution which are already made? tax implication?

Answer

you would end up with "excess contributions" to the SEP.

You must remove them and file an amended tax return showing the IRS adjustments.

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