ITIN & SE Tax
Question: I got a letter from Soc. Sec. (not IRS) stating that they need clarification on the SE tax paid under the ITIN. I filed a Sch C and paid SE tax. Do I need to amend and remove the SE tax?
Answer: I’m not sure what the content of the letter from SSA is, but the whole point of an ITIN is for ineligible SSN applicants to fulfill their tax obligations to the US government.
The letter from Social Security might simply mean that you’re not receiving credit from the Social Security Administration for SE tax paid because you do not have a valid SSN. If you want credit, you need to qualify and apply for a SSN.
***Disclaimer: I am a tax accountant and a CPA licensed in Massachusetts , but I am not your accountant or advocate (Unless you have signed up to my services). This communication is not intended as tax advice, and no tax accountant -client relationship results**