Compute tax amount of overpayment by subtracting the tax which should have been withheld
if the correct MBC had been paid from the tax which was withheld.
Waive recovery of this amount at the time the overpayment is computed. Do not undertake
any waiver development since the requirements for waiver are deemed to be met under
Show “GN 05010.220” in items 11(a) and (b) of the Form SSA-635 (Waiver Determination) as the basis for
determining the individual is without fault and that recovery is against equity and
Do not notify the overpaid beneficiary of the waiver action.
NOTE: If the tax which should have been withheld exceeds the amount which was withheld,
there is no tax part of the overpayment.