rbynaker -

Yes, IRS sent check. Exxon DID withhold at the 2.35% Additional Medicare Tax rate. Client questioned this and, for whatever reason, that is what they did. The clients are retired Exxon Management. Forms 941 and W-3 have nothing to do with anything as the amount of FIT, SS and MC that were withheld from my clients all do agree with what was reported on all payroll tax returns. Exxon deposited with IRS/SSA all the taxes that were withheld.

In the old days, the employee would get the overwithheld amounts from the employer. In fact, even today the employee has to go to the employer for overwithheld SS tax. But now, since the Additional Medicare Tax is due (Form 8959) any Medicare Tax withheld that is IN EXCESS of 1.45% of Medicare Wages is given to the taxpayer as additional withholding on Line 16 of the 1040. I