Long Term Disability - lack of W-2

[Jack from Ohio]

Client's wife has been on disability pay (from an insurance company) for all of 2012. First six months was short term and she received a W-2. Second six months was long term disability and the insurance company nor her employer will issue a W-2 for it. She has talked to both.

Insurance company states it is the employer's responsibility to issue the W-2. Employer payroll person said.. "I'm not gonna mess with that. (Clearly the payroll department needs some improvement in attitude)

She has last pay stub from the Long Term Disability payments. SS & Medicare have been withheld.

How would you put this income on the tax return?

[Yardley CPA]

The last pay stub from LTD should reflect everything you need, however, the LTD W2 is really the form that is official (a copy of that should be filed with the IRS) and I would try and obtain that in some way. Maybe the LTD Insurer can at least confirm the figures on the stub and let you know if they are the same figures that would be reflected on the W2. That's a tough one, because you just don't know if there is some item that is not reflected on the stub that should be.

[Gail in Virginia]

If social security and medicare were submitted on her behalf, whose EIN were they submitted under? It looks like that would be the party responsible for the W2. I don't know if it matters, since neither party wants to provide the tax documents.

[Jack from Ohio]

If social security and medicare were submitted on her behalf, whose EIN were they submitted under? It looks like that would be the party responsible for the W2. I don't know if it matters, since neither party wants to provide the tax documents.

This is my quandry. The LTD is from the same company as the STD. However, without the W-2, I am not sure if the same info will work. I just love how payroll departments are so eager to take care of workers!!

What would be the worst that could happen if I use the info from the STD W-2?

[kcjenkins]

Do a Substitute. Form 4852.

[dominoes]

Could that be Code J sick pay and nontaxable?

[Jack from Ohio]

Could that be Code J sick pay and nontaxable?

If that were the case, why was SS & Medicare withheld?

[Guest Taxed]

If no Fed or state taxes were witheld just medicare and soc. sec. you will need to do an estimated return using the paycheck stubs if these folks are due a refund or balance due. If it is a balance due I would file a 4852 using the stub amounts and see what happens. If it is a refund I would file an extension and see if I can get IRS help to get the data necessary to file or I might just file it with 4852 and see if IRS corrects it. Usually for long term sick pay SS is not witheld??.

[jainen]

>>why was SS & Medicare withheld?<<

Start on page 15 of Pub 15-A. It sounds to me like the employer should indeed issue the W-2 and may be delinquent on payroll taxes. Tell Ms Attitude to do everyone a favor by asking her supervisor.