Prepared by Public Affairs 312-751-4777
The Internal Revenue Service (IRS) notified the Railroad
Retirement Board that there was an error in the 2007 Form W-2,
Wage and Tax
Statement, on the IRS Web site (www.irs.gov) as well as on some printed copies
of Form W-2. The IRS has posted the following information on its Web site:
Caution – Change to the 2007 Form W-2, Wage
and Tax Statement
If you downloaded the 2007 Form W-2 before October 22, 2007, please note the
following correction.
On page 4, under "Credit for excess taxes", we corrected the Tier II RRTA tax
withholding amount from $3,194.40 to $2,831.40.
The information in question applies to employees who worked for two or more
employers covered under the Railroad Retirement and Railroad Unemployment
Insurance Acts during the year and may be eligible for a tax credit for any
excess tier II railroad retirement taxes withheld. Such tax credits may be
claimed on an employee’s Federal income tax return. Employees who worked for two
or more covered employers should see Form 1040 or 1040A instructions and IRS
Publication 505, Tax Withholding and Estimated Tax, for information on how to
figure any excess railroad retirement tax withheld. In 2006, some 8,000
employees (about 3% of the total railroad work force) worked for more than one
covered employer.
The maximum amount of tier II payroll taxes that could be withheld during 2007
is $2,831.40.
Covered employers having any questions regarding Form W-2 should contact the
IRS.
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