"Do over" of social security payments received in 2019.

Forum|Forum|6 years ago
February 16, 2020
1 reply
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I am still working, and last year (2019) I started receiving Social Security at full retirement age of 66. I decided to do a stop payment, that that ended my social security checks in December of 2019. I paid it all back in January of 2020, and hope to do a " Do Over" in 2020 with the income of 2019 averaged in my last 35 years of working full time, and recalculated. Am I still taxed on the funds received in 2019, but paid back in 2020? My personal bank can tell that the cashiers check I sent to the Social Security Administration has not been cashed yet, as of 2/13/2020. According to TurboTax, I will pay the IRS an additional $2400 if I cannot claim the "payback" check I sent. I am still working, and plan to keep working. Ouch!

D

DianeC958

Yes you need to report the income in 2019 since you received it in 2019.

In 2020 then you will report the payback of the money to Social Security and have a deduction on your return for the amount as a Claim of Rights Issue.

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