DannyA
Level 2

I am experiencing the same thing. This deferral is the EE portion of the Self Employment tax once the NET income is multiplied by 92.35%. The IRS stopped honoring this Covid provision, or their internal systems began disallowing this deferral (to be paid later) and the refunds are being reduced. This appears to be a screw up on the IRS's part, not our software or how the provision is written. I tried researching if this rule has expired but can't find anything. I asked ACS and PPS at the IRS and they haven't heard of this happening --- and, as far as they're concerned, it's still the taxpayer's option for SE. I'm sure there will be more to come.

 

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