Instructions For Form 8959 - Additional Medicare Tax

2013

Department of the Treasury

Internal Revenue Service

Instructions for Form 8959

Additional Medicare Tax

Section references are to the Internal Revenue Code

income exceeds the threshold. A

compensation and tips of your spouse, if

unless otherwise noted.

self-employment loss should not be

married filing jointly) is greater than the

considered for purposes of this tax. Railroad

threshold amount for your filing status in the

Future Developments

retirement (RRTA) compensation should be

chart on this page.

separately compared to the threshold.

Your Medicare wages and tips include

For the latest information about

Your employer is responsible for

amounts from Form W-2, box 5; Form 4137,

developments related to Form 8959 and its

withholding the 0.9% Additional Medicare

line 6; and Form 8919, line 6.

instructions, such as legislation enacted after

Tax on your Medicare wages or railroad

Your self-employment income includes

they were published, go to

retirement (RRTA) compensation paid in

amounts from Schedule SE – Section A,

form8959.

excess of $200,000 in a calendar year. Your

line 4, or Section B, line 6. But negative

employer is required to begin withholding

Reminders

amounts should not be considered for

Additional Medicare Tax in the pay period in

purposes of Form 8959.

which your wages or compensation for the

Missing or incorrect Form W-2. Your

year exceed $200,000 and continue to

Amounts Subject to

employer is required to furnish Form W-2 to

withhold it in each pay period for the

Additional Medicare Tax

you no later than January 31. If you do not

remainder of the calendar year.

receive your Form W-2 by early February,

All wages that are currently subject to

More information. The IRS and the

use TeleTax Topic 154 to find out what to do.

Medicare tax are subject to Additional

Treasury Department have issued final

TeleTax topics are available by calling

Medicare Tax to the extent they exceed the

regulations (T.D. 9645) on the Additional

1-800-829-4477 or at taxtopics.

threshold amount for your filing status. For

Medicare Tax. The final regulations are

Even if you do not get a Form W-2, you must

more information on what wages are subject

available at

irb/2013-51_IRB/

still figure your Additional Medicare Tax. If

to Medicare tax, see the chart, Special Rules

ar10.html. For more information on

you lose your Form W-2 or it is incorrect, ask

for Various Types of Services and Payments,

Additional Medicare Tax, visit

your employer for a new one.

in section 15 of Pub. 15 (Circular E),

and enter the following words in the search

Forms W-2 of U.S. Possessions.

Employer’s Tax Guide.

box: Additional Medicare Tax.

References to Form W-2 on Form 8959 and

Your employer must withhold Additional

in these instructions also apply to Forms

Who Must File

Medicare Tax on wages it pays to you in

W-2AS, W-2CM, W-2GU, W-2VI, and

excess of $200,000 for the calendar year,

You must file Form 8959 if one or more of the

499R-2/W-2PR. However, for Form 499R-2/

regardless of your filing status and

following applies to you:

W-2PR, Medicare wages and tips are

regardless of wages or compensation paid

Your Medicare wages and tips on any

reported in Box 19 and Medicare tax

by another employer.

single Form W-2 (box 5) are greater than

withheld is reported in Box 20.

$200,000.

All railroad retirement (RRTA)

Your railroad retirement (RRTA)

General Instructions

compensation that is currently subject to

compensation on any single Form W-2

Medicare tax is subject to Additional

(box 14) is greater than $200,000.

Medicare Tax to the extent it exceeds the

Purpose of Form

Your total Medicare wages and tips plus

threshold amount for your filing status. A

your self-employment income (including the

Use Form 8959 to figure the amount of

railroad employer must withhold Additional

Medicare wages and tips and

Additional Medicare Tax you owe and the

Medicare Tax on compensation it pays to

self-employment income of your spouse, if

amount of Additional Medicare Tax withheld

you in excess of $200,000 for the calendar

married filing jointly) are greater than the

by your employer, if any. You will carry the

year, regardless of your filing status and

threshold amount for your filing status in the

amounts to one of the following returns:

regardless of wages or compensation paid

chart on this page.

Form 1040.

by another employer.

Your total railroad retirement (RRTA)

Form 1040NR.

compensation and tips (Form W-2, box 14)

You cannot ask your employer to stop

Form 1040-SS.

(including the railroad retirement (RRTA)

Additional Medicare Tax withholding if it is

Form 1040-PR.

Threshold Amounts for Additional Medicare Tax

Attach Form 8959 to your return.

If you are filing Form 8959, you

Note. The threshold amounts below are not indexed for inflation.

must file one of the forms listed

above. Do not attach Form 8959 to

CAUTION

Form 1040A, 1040EZ, or 1040NR-EZ.

Filing Status

Threshold Amount

Additional Medicare Tax. For tax years

Married filing jointly

$250,000

beginning after December 31, 2012, a 0.9%

Additional Medicare Tax applies to your

Married filing separately

$125,000

Medicare wages, Railroad Retirement Tax

Single

$200,000

Act (RRTA) compensation, and

self-employment income above a threshold

Head of household

$200,000

amount. The threshold amounts are listed in

the chart on this page.

Qualifying widow(er) with dependent

Medicare wages and self-employment

child

$200,000

income are combined to determine if your

Jan 24, 2014

Cat. No. 53784D

Instructions For Form 8959 - Additional Medicare Tax - 2013

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