Instructions For Form Ct-1 X (Rev. February 2015) (Page 5 of 13) in pdf

Form CT-1 X cannot be used to correct

recover overpaid Employee RRTA taxes that you withheld

overreported amounts of Tier 1 Employee

are protected. The certifications on lines 4 and 5 address

Additional Medicare Tax unless the amounts

the requirement to:

CAUTION

were not withheld from employee compensation.

Repay or reimburse your employees for the

overcollection of Employee RRTA taxes, or

If you owe tax. Pay the amount shown on line 20 by the

time you file Form CT-1 X. Generally, you will not be

Obtain consents from your employees to file a claim on

charged interest if you file on time, pay on time, enter the

their behalf. See Notice 2015-15 for guidance on

date you discovered the error, and explain the correction

consents.

on line 23.

For purposes of these certifications, Employee RRTA

taxes consist of Tier 1 Employee tax, Tier 1 Employee

If you have a credit. You overreported RRTA taxes (you

Medicare tax, and Tier 2 Employee tax. Employer RRTA

have a negative amount on line 20) and want the IRS to

taxes consist of Tier 1 Employer tax, Tier 1 Employer

apply the credit to Form CT-1 for the period during which

Medicare tax, and Tier 2 Employer tax.

you filed Form CT-1 X. The IRS will apply your credit on

the first day of the Form CT-1 year during which you filed

3. Filing Forms W-2 or Forms W-2c

Form CT-1 X. However, the credit you show on Form

Check the box on line 3 to certify that you filed or will file

CT-1 X, line 20, may not be fully available on your Form

Forms W-2 or Forms W-2c with the SSA, as required,

CT-1 if the IRS corrects it during processing or you owe

showing your employees' correct wage and tax amounts.

other taxes, penalties, or interest. The IRS will notify you if

See the General Instructions for Forms W-2 and W-3 for

your claimed credit changes or if the amount available as

detailed information about filing requirements.

a credit on Form CT-1 was reduced because of unpaid

taxes, penalties, or interest.

You must check the box on line 3 to certify that you filed

Forms W-2 or Forms W-2c even if your corrections on

Do not check the box on line 1 if you are

Form CT-1 X do not change amounts shown on those

correcting overreported amounts and the period

forms. For example, if your only correction to Form CT-1

of limitations on credit or refund for Form CT-1

CAUTION

involves misstated tax adjustments (see the instructions

will expire within 90 days of the date you file Form CT-1 X.

for line 18), check the box on line 3 to certify that you

Instead, check the box on line 2. See Is There a Deadline

already filed all required Forms W-2 and W-2c with the

for Filing Form CT-1 X, earlier.

SSA.

2. Claim

4. Certifying Overreporting Adjustments

Check the box on line 2 to use the claim process if you are

If you overreported RRTA tax and/or Tier 1 Employee

correcting overreported amounts only and you are

Additional Medicare Tax and checked the box on line 1,

claiming a refund or abatement for the negative amount

check the appropriate box on line 4. You may need to

(credit) shown on line 20. Do not check this box if you are

check more than one box. If you obtained written

correcting any underreported amounts on this form.

statements from some employees but you could not

You must check the box on line 2 if you have a credit

locate employees or secure the statements of the

and the period of limitations on credit or refund for Form

remaining employees, check all applicable boxes. Provide

CT-1 will expire within 90 days of the date you file Form

a summary on line 23 of the amount of the corrections for

CT-1 X. See Is There a Deadline for Filing Form CT-1 X,

both the employees who provided written statements and

earlier.

for those who did not.

The IRS usually processes claims shortly after they are

You may not use Form CT-1 X to correct

filed. The IRS will notify you if your claim is denied,

overreported amounts of Tier 1 Employee

accepted as filed, or selected to be examined. See Pub.

Additional Medicare Tax unless the amounts

CAUTION

556, Examination of Returns, Appeal Rights, and Claims

were not withheld from employee compensation.

for Refund, for more information.

4a. Check the box on line 4a if your overreported amount

Unless the IRS corrects Form CT-1 X during

includes each affected employee share of overcollected

processing or you owe other taxes, penalties, or interest,

Employee RRTA taxes. You are certifying that you repaid

the IRS will refund the amount shown on line 20, plus any

or reimbursed the prior year Employee RRTA taxes and

interest that applies.

you received written statements from the employees

You may not file a refund claim to correct Tier 1

stating that they did not and will not receive a refund or

Employee Additional Medicare Tax actually

credit for the prior year taxes. Do not send these

withheld from employees.

statements to the IRS. Keep them for your records.

CAUTION

Generally, all employment tax records must be kept for at

Part 2: Complete the Certifications

least 4 years.

4b. Check the box on line 4b to certify that your

You must complete all certifications that apply by

overreported amount is only for Employer RRTA taxes on

checking the appropriate boxes. If all of your corrections

those employees whom you were unable to find or those

relate to underreported amounts, complete line 3 only;

who did not give you a statement described on line 4a.

skip lines 4 and 5 and go to Part 3.

If your corrections relate to overreported amounts, you

4c. Check the box on line 4c to certify that your

have a duty to ensure that your employees' rights to

overreported amount is only for RRTA taxes and/or Tier 1

-5-

Instructions for Form CT-1 X (Rev. 2-2015)

Instructions For Form Ct-1 X (Rev. February 2015) Page 5

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