Additional Medicare Tax. If an em- ployer files a return on which FICA tax or RRTA tax is required to be reported, and reports on the return less than the correct amount of Additional Medicare Tax required to be withheld with re- spect to a payment of wages or com- pensation, and if the employer ascer- tains the error after filing the return, the employer shall correct the error through an interest-free adjustment as provided in this section. An adjustment of Additional Medicare Tax may only be reported pursuant to this paragraph (b)(4) if the error is ascertained within the same calendar year that the wages or compensation were paid to the em- ployee, unless the underpayment is at- tributable to an administrative error (that is, an error involving the inac- curate reporting of the amount actu- ally withheld), section 3509 applies to determine the amount of the under- payment, or the adjustment is reported on a Form 2504 or Form 2504–WC. The employer shall adjust the under- payment of Additional Medicare Tax by reporting the additional amount due on an adjusted return for the return pe- riod in which the wages or compensa- tion were paid, accompanied by a de- tailed explanation of the amount being reported on the adjusted return and any other information as may be re- quired by this section and by the in- structions relating to the adjusted re- turn. The reporting of the under- payment on an adjusted return con- stitutes an adjustment within the meaning of this section only if the ad- justed return is filed within the period of limitations for assessment for the return period being corrected, and by the due date for filing the return for the return period in which the error is ascertained. For purposes of the pre- ceding sentence, the due date for filing the adjusted return is determined by reference to the return being corrected, without regard to the employer’s cur- rent filing requirements. For example, an employer with a current annual fil- ing requirement who is correcting an error on a previously filed quarterly re- turn must file the adjusted return by the due date for filing a quarterly re- turn for the quarter in which the error is ascertained. The amount of the un- derpayment adjusted in accordance with this section must be paid to the IRS by the time the adjusted return is filed. If an adjustment is reported pur- suant to this section, but the amount of the adjustment is not paid when due, interest accrues from that date (see section 6601).
Additional Medicare Tax. No re- fund or credit to the employer will be allowed for the amount of any overpay- ment of Additional Medicare Tax im- posed under section 3101(b)(2) or section 3201(a) (as calculated under section 3101(b)(2)), which the employer de- ducted or withheld from an employee.
(iv) For adjustments without interest of overpayments of FICA or RRTA taxes, including Additional Medicare Tax, see § 31.6413(a)–2.
(v) For corrections of FICA and RRTA tax paid under the wrong chap- ter, see § 31.6205–1(b)(2)(ii) and (b)(2)(iii) and § 31.3503–1.
(vi) For provisions related to fur- nishing employee statements and cor- rected employee statements reporting wages and withheld taxes, see sections 6041 and 6051 and §§ 1.6041–2 and 31.6051–
1. For provisions relating to filing in- formation returns and corrected infor- xxxxxx returns reporting wages and withheld taxes, see sections 6041 and 6051 and §§ 1.6041–2 and 31.6051–2.
(vii) For the period of limitations on credit or refund of taxes, see § 301.6511(a)–1.
Additional Medicare Tax. (i) If more than the correct amount of Additional Medicare Tax under section 3101(b)(2) or section 3201(a) (as calculated under section 3101(b)(2)), is collected by an employer from an employee and paid to the IRS, the employee may file a claim for refund of the overpayment and re- ceive a refund or credit if the over- collection cannot be corrected under § 31.3503–1 and if the employee has not received repayment or reimbursement from the employer in the context of an interest-free adjustment. The claim for refund shall be made on Form 1040, ‘‘U.S. Individual Income Tax Return,’’ by taking the overcollection into ac- count in claiming a credit against, or refund of, tax. The form to be used by residents of the U.S. Virgin Islands, Guam, American Samoa, or the North- ern Mariana Islands is Form 1040–SS, ‘‘U.S. Self-Employment Tax Return (Including Additional Child Tax Credit for Bona Fide Residents of Puerto Rico).’’ The form to be used by resi- dents of Puerto Rico is either Form 1040–SS or Form 1040–PR, ‘‘Planilla para la Declaracio´ n de la Contribucio´ n Federal sobre el Trabajo por Cuenta Propia (Incluyendo el Cre´dito Tributario Adicional por Hijos para Residentes Bona Fide de Puerto Rico).’’ The employee may not authorize the employer to claim the credit or refund for the employee. See § 31.6402(a)– 2(a)(1)(iii).
(ii) In the case of an overpayment of Additional Medicare Tax under section 3101(b)(2) or section 3201(a) for a tax- able year of an individual for which a Form 1040 (or other applicable return in the Form 1040 series) has been filed, a claim for refund shall be made by the individual on Form 1040X, ‘‘Amended U.S. Individual Income Tax Return.’’
Additional Medicare Tax. Certain U.S. holder that are individuals, estates, or trusts will be subject to a 3.8% tax on the lesser of (1) the U.S. holder’s "net investment income" for the relevant taxable year (undistributed net investment income in the case of an estate or trust) and (2) the excess of the U.S. Holder’s modified gross income (or, in the case of an estate or trust, adjusted gross income) for the taxable year over a certain threshold (which in the case of individuals will be between $125,000 and $250,000, depending on the individual’s circumstances). Net investment income generally includes passive income such as interest and capital gains. U.S. holders are urged to consult their tax advisors regarding the applicability of the Medicare tax to their income and capital gains in respect of their investment in the Notes.
Additional Medicare Tax. A taxable U.S. stockholder that is an individual, an estate or an enumerated trust and that has taxable income in excess of certain thresholds (currently $250,000 for married couples filing jointly, $125,000 for married couples filing separately, $200,000 for single filers and heads of household and $12,950 for estates and trusts) generally is subject to a 3.8% Medicare tax on dividends received from us and on gain from the sale of our stock.
