MFJ SS # switched

[Gretel]

Here is the mystery: Since 2012 MFJ tax returns have the SS #'s switched but never received an IRS letter. I guess only the last name is matched at e-filing. To not confuse the IRS more than necessary, I will file the spouse as TP, which will leave the main TP SS# first. Any thoughts? If first thought the tax season bug caught me since it seemed impossible that this could happen with e-filing.

[Dusty2004]

I would just correct it and move forward

I had a child whose birthday was wrong for 4 years before the IRS caught it. When they rejected I checked the prior years to make sure then called the parents.

Dusty

[taxea]

I would file an amended with a statement of explanation. Right now it is not an issue because they are filing jointly but what happens if they divorce? Were they filed correctly in years prior to the errors?

[TaxGuyBill]

Was one of the taxpayers Self Employed, with Self Employment tax?

If so, switched Social Security Number may have messed up the amounts reported to the Social Security Administration for the eventual Social Security benefit. So I would recommend amending *OR* filing the proper forms with the Social Security Administration to correct that.

If that doesn't apply, I can't think of any harm in leaving the incorrect tax returns alone.

[Gretel]

Thanks, no SE, to returns MFJ prior to the mistake. It all started out with wife being single, then your husband was added the wrong way.

[Rapid Robert]

Here is the mystery: Since 2012 MFJ tax returns have the SS #'s switched but never received an IRS letter. I guess only the last name is matched at e-filing. To not confuse the IRS more than necessary, I will file the spouse as TP, which will leave the main TP SS# first. Any thoughts? If first thought the tax season bug caught me since it seemed impossible that this could happen with e-filing.

What is a mystery to me is what facts you are describing and what question you are asking. Are you aware that it is completely arbitrary which spouse is listed first on the return? (other than the IRS prefers you stick to the same order each year, but it's not mandatory). I don't think it is the IRS that is confused about this...

It all started out with wife being single, then your husband was added the wrong way.

That sounds like the opening line from a Hollywood movie. Indeed, most marriages do start out with one or both spouses first being single. There is no "wrong way" to add a spouse to a tax return in terms of the order in which the names are listed on the Form 1040 header.

[edit] After re-reading your post for the 7th or 8th time, I think I finally understand what you are trying to say -- the names on the return are mismatched (switched) with the SSNs on the return. Actually, only the first four characters of the last name are used to match, so yes if both have the same last name, it could still pass name matching. It's not clear under what circumstances birth date is used to match or reject, so it's not something you can rely on. After all, on a paper filed return there would be no birth date, so obviously it's not mandatory.

If there was no SE tax or other items reported separately (Form 8606, the HSA form, carryovers, etc), I would do nothing about the prior returns and simply start using the correct name/SSN combo going forward.

[Gretel]

If there was no SE tax or other items reported separately (Form 8606, the HSA form, carryovers, etc), I would do nothing about the prior returns and simply start using the correct name/SSN combo going forward.[/QUOTE]

Sorry, for not being clear enough. What you suggest is exactly what I am planning to do. However, I will leave the first SS first, which is the wife's, and put her name with her SS. I believe this will cause less confusion.

[Burke]

I can top that.
New (young) client came in to place where I was working and had been trying to self-efile via TurboTax. . .and everything kept being rejected.
Long story short, when the IRS and Soc Sec computers started talking to each other, their DOB did not match what she had entered with TT. Turns out the Soc Sec folks had the wrong year of birth (off by one) in their computers for 20+ years.
The office manager somehow worked things out for her.FE

Had the same thing with one of my clients. Child born in early Jan, somehow it was reported to SSA with the prior year. When child turned 16, CTC rejected due to the fact their records showed he was 17. Took a while to straighten out. Had to send in birth certificate. And I also had a spousal client whose SSN was incorrect on the tax return for 16 years, but she was secondary on a MFJ return and the discrepancy never surfaced until after that time.

[Burke]

Are you aware that it is completely arbitrary which spouse is listed first on the return? (other than the IRS prefers you stick to the same order each year, but it's not mandatory). I don't think it is the IRS that is confused about this....

Probably not. However, I found it is confusing for the inputter (me) if I do not follow the normal order of TP first and Spouse second on a MFJ return. Because when you start inputting W-2, 1099's, etc. etc, and you have to code Filer or Spouse, it is easy to slip up and reverse the items. It can cause problems with separate forms like SE, 8606, HSA, etc. As well as state issues where income may be separated. Some years back, us old codgers remember some type of tax rebate which was processed over a period of time based on the last 4 digits of SSN. Many of us switched the TP's on MFJ to get it earlier rather than later. Big time confusion the next year if you didn't switch it back.

[Gretel]

Probably not.

Of course, I was aware of that but as I said in my last post, I didn't state clearly what happened. I will certainly try to do better in the future.