How do I create a W-2 where a mistake was made in withholding but corrected in the subsequent tax year? Mistake in December 2021, corrected February 2022

[beachway]

Company under withheld and then sent the corrected amount to the IRS in February of 2022

[sjrcpa]

Did they issue a 2021 W-2c?

Or did they  "catch up" the withholding on a 2022 paycheck?

What kind of withholding are you talking about?

[beachway]

The company belongs to me and my wife.  We are the only employees.  The w-2 is being created now.  No other forms were filed.  I simply had the company make a makeup payment through EFTPS in February when the mistake was realized. 

We don't actually draw a monthly salary from the company.  We pay ourselves a salary based on the profits of the company at the end of the year.  Therefore, we were making our one yearly withholding payment in December, but didn't realize that it was wrong until February.  I am doing the taxes for the company now and want to issue W-2's to us so that we can file our personal taxes after the company taxes are filed.

[qbteachmt]

"I simply had the company make a makeup payment through EFTPS in February when the mistake was realized."

What was it identified as: 941? 1040-ES? Whose ID was on it: Yours? The S/C Corp? An LLC?

"we were making our one yearly withholding payment in December, but didn't realize that it was wrong until February."

There really is no such thing as "wrong" as far as income tax withholding. You can pay $0, for instance, through payroll, as long as you paid in whatever is required through ES or other means, such as carry over refund from the prior year.

"I am doing the taxes for the company now and want to issue W-2's to us so that we can file our personal taxes after the company taxes are filed."

An amount paid in 2022 is not a 2021 tax payment. Are you getting some professional guidance on this, or are you asking the internet, without giving us enough details?

[beachway]

Thank you!

[qbteachmt]

I'm not sure what we are being thanked for. There are at least 6 questions to answer to even start to give guidance.

The issues of Payroll have nothing to do with the timing of Income tax reporting. Payroll is always a calendar year process.

[sjrcpa]

The W-2s were due January 31. So were the 941s and the 940.