T-Town-CPA
Level 4
04-09-2021
09:15 AM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Thank you for your response. They reported it as SS Tax withheld in boxes 4 and 6.
They did this as an agreement with the tax payer that they would cover 1/2 of his SS tax. To accomplish this they grossed up his earnings for the tax and then withheld the SS tax for a $0 pay transaction.