If you need to stay on top of your tax preparation, there are always steps that you need to be aware of.
For instance, you’ll need to consider getting a social security tax refund so that you are able to get the money you are owed. The basis of social security taxes is that they are taken out of your check each and every pay period.
When you feel that you are owed a tax refund that you didn’t receive, consider the tips below so that you can claim it.
1. Consider the Reason For Your Refund
It’s important that you start thinking about why you’re owed a social security tax refund. This generally happens when too much money was taken out of your check.
This happens for a number of reasons. For instance, there may have been errors on your W2 that created issues with your withholding amounts. There are a number of implications that come into play as well, such as whether you’re self-employed or if your employer has accidentally overpaid.
2. Submit the Proper Paperwork
When you’re trying to claim a refund for your social security tax, the first thing you need to do is get the ball rolling by filing. Put together your paperwork so that you are able to notify the IRS.
You will need to submit paperwork like the IRS Form 843 so that you can request a refund.
With this IRS form, you are claiming your refund and also requesting an abatement. You can file these forms online or with your local office.
When filing your refund, you might also need to include a letter from your employer stating the amounts that you were reimbursed. You should also get a copy of your W2 form to include with any IRS paperwork that you submit.
3. Think About Your Classification and Status
When you’re trying to put together your social security tax refund request, it’s important that you consider your tax filing status.
Knowing where you stand is half the battle when it comes to IRS disputes and other issues.
A person filing single will have different tax implications than a person married filing jointly. If you were self-employed, you’ll also have to also contend with self-employment taxes.
There are a number of deductible matters that you’ll want to keep in mind, since they play a role in the refund that you’ll receive.
4. Understand Annual Maximums and Other Matters
When you are considering your social security tax refund, you also need to be aware of the limits.
For instance, there’s a social security tax limit for payroll amounts upwards of $128,400. This means that the maximum taxation amount is 6.2%, which evens out to a little less than $8,000.
By understanding the income maximum, it gives you an idea of other situations in which you may have overpaid. Keep in mind that these maximums apply to both the employer and the employee. So if you work for yourself, your maximum will be closer to 12.4%, since you are handling both sides of the equation.
Social security maximums can change from year to year, so you’ll need to be aware of any new tax laws that come about.
5. Ensure That You’re Getting the Right Amount and That the Calculations Are Accurate
The last thing you would want is to appeal the IRS’ decision on the amount of social security tax owed, only to come back with faulty numbers.
Go through your return with a fine-toothed comb to make sure that you are accurate about the amounts you are claiming. Keep plenty of records as well so that you can point to exact payments and deductions from each pay period throughout the year.
You would be wise to keep both hard copies and digital copies of each pay stub just to be on the safe side.
6. Stay Up to Date With Tax Laws
Whenever social security tax limits change, you need to be fully aware of this prior to filing your taxes. That way, you will already have an idea about whether or not you have been overpaying throughout the year.
The Social Security Administration (SSA) re-evaluates tax limits and other laws each and every year, so you’ll want to be correct with your information whenever you are applying for a reimbursement.
7. Get the Help of a Tax Professional That Can Assist You
Without question, having the help of tax professionals will be the best ally you’ll have in this situation. Since these professionals know the ins and outs of tax law and stay up to date with changes, they can help prove your case and get you the reimbursement that you need.
What’s more, a tax professional can handle a lot of the paperwork on your behalf.
Reach out to a tax attorney that can assist you with any sort of issue you are dealing with. Check some references and find the best company that can serve you.
Do Your Best to Get Your Social Security Tax Refund
If you’d like to get the most out of your social security taxes, it pays to stay on top of the details so that you can get the refund you deserve.
Since these matters require the help of a professional, look no further than the Silver Tax Group. We handle all sorts of tax issues and will gladly help you get the refund you’re entitled to.
Take the time to contact us when you need help with your social security tax refund.
