If earnings from a partnership were not reported correctly, correct the earnings records of the persons involved.
Allocate the earnings for unbarred years according to the partnership agreement. If there is no agreement, divide equally (see RS 01802.360).
Reallocation for barred years is permitted by the statute of limitations so long as:
income is not removed that truly belongs to the original reporter or,
the total amount entered on the earnings record is not changed. (See RS 02201.022)
If there are unreported earnings, they cannot be used in computing a benefit until a tax return reporting them has been filed with the IRS within the applicable time limitation. (See RS 02201.001B.2.)
Whenever a determination is made which affects the earnings record of an individual, that individual must be given notice of the decision and advised of his or her rights to a reconsideration or hearing (See RS 01405.005).