Error Message: “US FRM W-2 SS Tax Withheld over 4.2%” when verifying a tax return
SUMMARYWhen verifying a tax return, the following error message appears:
MORE INFORMATIONFor tax years 2011 and 2012 the social security tax was reduced from 6.2% to 4.2%. Employers that failed to adjust the withholding may have withheld more than 4.2%. the program displays a verify error when the social security tax withheld in box 4 of Form W-2 is more than 4.2% of social security wages in box 3.
Note: A common question is why doesn’t the excess tax withheld carry to Form 1040 line 69, Excess social security & RRTA tax withheld. Line 69 is only used when there is more than one employer and the total social security tax withheld for all employers is greater than the maximum of $4,624 (for tax year 2012).
- The amount entered for social security tax may be typed incorrect. Verify the amount entered matches the amount on the physical Form W-2.
- If the amount entered matches the physical Form W-2, the return can be transmitted with error. Click Transmit and then click Next to bypass the error.
- There is no way on the income tax return to receive credit for the excess tax withheld. The employee should contact their employer to obtain the excess tax withheld.
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