Level 3

w2 received from prior year

Forum|Forum|1 year ago
May 29, 2025
2 replies
16 views

Good morning all,

Customer came to me with a W2 from previous employer (US government). The situation is this: She worked for one agency of federal government in prior years, but transferred to another agency. The first agency is now billing her for income received that they believed was for time after she left their employment. However, she disputed their claim, saying that she was still under their employment during the time period in question. Once that was cleared up, the agency stated that they have to pay her for the pay period and have her pay it back to them, as they have to close the billing and this is the only way to clear it up. I have never heard of this type of situation. I would really like to hear from anyone that has dealt with this.

Thanks in advance,

sjrcpa

Level 15

I'm confused on the facts, but look up Repayment under Claim of Right.

The more I know the more I don’t know.

H

HorseaddictAuthor

Level 3

It is quite confusing, but she worked for US game and fish in 2019 and then transferred to US forest service. After the transfer, game and fish contacted her stating that she was paid for a pay period for which she had already left their employ. She was able to prove when she left employment, so because a bill had been generated in their system they decided to pay her the amount she owed, and she had to give it back upon deposit of the check.....now, she has received a W2 for 2024 for the amount paid, including social security and medicare withholding.

sjrcpa

Level 15

I'm still confused.

In 2019 she was paid the proper amount. Resolved after some back and forth.

In 2024 she was paid the "disputed" amount again?

Then in 2024 she had to repay the 2024 payment?

But she got a 2024 W-2 for the amount she received in 2024 that she paid back?

Or something different?

The more I know the more I don’t know.

BobKamman

Level 15

Sounds like an elaborate phishing scam. But then, so does a lot coming out of Washington these days. If she plays along, she's likely to pay tax on what they say they have to send, and not be able to deduct what they want her to send back. I'd ask a local member of Congress for help.

Sign up

Login with SSO

Let's get you signed in

Login with SSO

Scanning file for viruses.

This file cannot be downloaded