Tax Planning When Should You Amend Your Tax Return? Read the Article Open Share Drawer Share this:Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window)Click to share on LinkedIn (Opens in new window)Click to share on Pinterest (Opens in new window)Click to print (Opens in new window) Written by Jim Wang Published Oct 26, 2011 - [Updated Jul 12, 2019] 4 min read A few years ago, after preparing my taxes, I realized I left off some income I earned that year. As a sole proprietor of a personal finance blog, I would receive several 1099-MISC forms each year from various vendors. A 1099-MISC is to freelancers what a W-2 is to a full time employee( a statement of income that is sent to you and filed with the IRS). I knew that since I left it off, it would only be a matter of time before the IRS checked the numbers and saw a mismatch. The solution? File an amended return. It’s not that uncommon to forget something on your taxes considering how complicated they can be. Perhaps you didn’t record all of your deductions and credits or you entered the wrong filing status. A 1099-INT from one of your banks gets lost in the mail and delivered a few months late? If you make a major mistake, it becomes necessary to file an amended return. Here are some situations that call for filing an amended return: Change in filing status Inaccurate reporting of number of dependents Mistake in reporting your total income Error in figuring deductions and/or credits You e-filed, have one of the above situations, and you received confirmation from the IRS or state taxing agency that your return was accepted There is an exception to the above rules. Let’s say you e-filed your tax return, but it’s rejected and you discover you made a mistake that usually calls for an amendment. If the return is rejected, you can fix the error without an amendment, because the IRS did not accept your return. If you missed the e-file deadline, print and paper file your corrected tax return. Also, be sure to pay attention to your state tax return. In some cases, it may be accepted although the federal tax return was rejected. If that is the case, you will need to amend your state tax return. There is usually no need to file an amended return if you have made a calculation error. Normally, the IRS will fix these minor mistakes (this is most common with paper returns). Additionally, if you forgot to include documentation, such as a W-2 with a paper filed return, the IRS will request the documentation. How to File an Amended Return If you need to file an amended return, you should use Form 1040X. You can file an amended return for multiple years, but you need a separate Form 1040X for each year, and each return should be filed separately. As you fill out the form, understand that Column A should include original figures, and Column C should show the new figures. The difference between the two should be listed in Column B. If you are listing changes on various schedules, such as Schedule A or Schedule C, you will need to include them with your Form 1040X. There is no need to worry about the complicated calculations, TurboTax does the behind the scenes calculations for you when amending your return. When you are claiming an additional refund, you should wait until your original refund arrives before you file your Form 1040X. You can cash your check, but you still should wait until your current tax return is resolved. That way, you know where you stand. In order to qualify for an additional refund, you will need to file within three years from the date of your original return, or within two years of paying your tax (whichever is later). If your mistake resulted in under-paying your taxes, you should file your amended return as soon as you possibly can. The longer you wait to file your 1040X, the more you will pay in interest fees and penalties, if you owe. Unfortunately, there is no way to file your 1040X electronically but this may be offered sometime in the near future. One important thing to remember when amending your tax return is to always keep a copy of your original filed tax return and create an amended tax return from an additional copy. You can correct mistakes on your tax return with the help of an amended return; just make sure you follow proper procedures. For more information on amending your return see Amend a 2010 Tax Return. Previous Post Still Have Tax Debt? The IRS Fresh Start Initiative May… Next Post ‘Tis the Season for Charitable Giving and Tax Deductions Written by Jim Wang More from Jim Wang 221 responses to “When Should You Amend Your Tax Return?” « Older Comments Newer Comments » I filed my tax return and put in the wrong wages using the wrong number and its off by 1000, (i reported 1000 more than it was). I efiled and its too late to amend. All the other numbers were correct as in federal and state taxes just the reported income. Will this be cause for rejection or will IRS adjust for me? Reply Hi Melissa, It may be rejected since the amount you input does not match what has been reported to the IRS, but no need to worry. Once it’s rejected you can go into your tax return and fix it and send it again. If it is sent through the IRS will adjust it for you. Thank you, Lisa Greene-Lewis Reply I used Turbo Tax online to e-file my return. I just now realized that I used the wrong W-2. I used last years by accident. My return is currently pending until Jan 31 2014. Why wont Turbo Tax allow me to edit or change my return before the IRS accepts it? Will this cause the IRS to reject the return? If they reject it great but if they don’t I assume I will have to file an amended return? Will I have to pay the filing fee again to Turbo Tax and does TT online allow you to file an amended return? Sorry for all the questions but I just can’t believe I did this. Reply Hi Mike, TurboTax won’t let you edit once you hit e-file. Once the IRS begins accepting tax returns on January 31, your tax return may be rejected by the IRS, beause your W-2 will not match their records. Your will get a message that your tax return was rejected and you will be able to go in and fix your tax return and hit e-file again. You will not be charged to fix your tax return. Also, you can amend your tax return on TurboTax online, but you don’t need to. Plus you would not be able to amend a tax return that was rejected so don’t worry. I hope that helps you. Thank you, Lisa Greene-Lewis Reply how do you get a rejection? do you get it by mail, or do you see it on WMR or what? I totally used my last paycheck and put in my fed taxes wrong, and I know I need to amend. It is a difference of about $7500? I am ready to amend, but still waiting through processing, as I don’t want it to appear that there is a repeat ss number…this I have learned from you. I will file an amendment after I hear…it will probably be rejected….IT was an honest mistake, but it is the second year I did it..ughhh..so dumb. I have learned my lesson and will pay what I owe..just unsure how to go about doing it…thanks Lisa lla24@cox.net I filed my 2012 taxes and did not include my student loan interest. Can I amend my return? Where do I start? Reply I made an error in my last years taxes with the amount I put into my Ira. It turns out I put it in too late to claim thematic 2012 taxes. Do I make an amendment? What will be the interest and fees. Reply I accidentally submitted my 2011 tax return with Turbo Tax as an independent contractor, when I was in fact an employee (FICA and Medicare were both taken out of my check every paycheck, and I really was an employee at the time, set schedules, extensive training, etc). I do not see the ability to change my status from independent contractor to employee on the 2011 tax return amendment form. What do I do? Reply I Have a question about my taxes I’m a small business owner, For the last 4 to 5 years ive been doing my taxes with turbo tax, I have a fairly profitable business its not super rich money but really good money for the area in which i live. for the last few years i have been able to purchase some nice vehicles and motorcycles, boats etc….I know that i make decent money but after my taxes after all the reciepts and other write offs somehow its not showing that im making that much money? My Concern is the simple fact that if for whatever reason someday i would maybe get audited or something of that natural and the question comes up “where did you get the money” to purchase the cars and things when your taxes only show that your making 16k per or so? I am apparently missing something im not accountant only went by what turbo tax ask me to do?? im feel certain that i easily make more than 50k per year? im gonna go to an accountant this year to make sure im doing this the right way. but in the mean time my question is ? is it a big deal to amend my prior years of taxes? and would that raise a red flag and cause me grief? I just feel that theyre not done correct and would like to prevent any type of issue in the future.. thank you and help would be great Reply If you did and amended return with turbo tax because of a brokerage error, and it ended up with a 7 dollars or less amount owed. Do you still need to file it with the IRS or not? I presumed you would, but wanted to verify it. Thanks! Reply Hi Rebe, If you are aware of the error you should file the amendment, but if you don’t the IRS will adjust your tax return for the amount. Thank you, Lisa Greene-Lewis Reply Hi, I have been separated from my wife since July of 2010. For various reasons, we have not been able to finalize the divorce so we are legally separated I suppose. We filed our tax return “Married but filing separate” so as to not mix any more of our finances. We came to learn later than as a result of this filing status we were not able to claim numerous deductions to include EIC or our child’s daycare expenses. My question is, can we re-file as single or even as married? Were it a small amount we’d let it slide but as it is now the difference would appear to be in excess of $2k. I don’t see why they don’t allow people to take deductions that are rightfully deserved when filing separate yet if you don’t want to mix your finances they require to file apart, forcing people into a tight spot. It’s not just. Reply Correction, since July of 2012. Reply I e-filed my 2012 returns thru via turbotax. I received a refund from Fed but had to pay state. Then I discovered I had to file an amended 2011 return. The amended 2011 returns have been processed and I have received additional 2011 refunds + interest from federal and minnesota state. Do I now have to amend my 2012 fed and state to report the additional refund amounts ?? Thank you Reply I had my Girlfriend living with me in 2010 tax season. while she was unemployed so they prepared my taxes as her being my dependent. On my 2011 taxes she was making minium wage and I figured they would either put the same or Domestic partner. We split up right after tax season ended. she did mail me my refund but no paer work. when finally obtained a copies of the taxes I Realized they had me filing as married? please help me. this year i filed single. Reply « Older Comments Newer Comments » Leave a ReplyCancel reply Browse Related Articles Tax Tips What Is a 1099 Form? Reporting Your Income for Taxes Self-Employed 1099-MISC vs 1099-NEC vs 1099-K: Understanding the Differences Life How to File Taxes with a Missing W-2 Self-Employed What is the Form 1099-NEC? Tax Tips 1098 vs 1099 forms Explained (Difference Between These Tax Forms) Investments Dividends and Taxes: An Intro Guide Self-Employed 1040 vs 1099 Forms: What’s the Difference? Self-Employed How to File Self-Employment Taxes (Understanding the Forms & Process) Income and Investments What is an IRS 1099 Form? (Definition & Form Differences) Self-Employed I Only Received One Paycheck from My Summer Side-Gig. Am I Self-Employed?
I filed my tax return and put in the wrong wages using the wrong number and its off by 1000, (i reported 1000 more than it was). I efiled and its too late to amend. All the other numbers were correct as in federal and state taxes just the reported income. Will this be cause for rejection or will IRS adjust for me? Reply
Hi Melissa, It may be rejected since the amount you input does not match what has been reported to the IRS, but no need to worry. Once it’s rejected you can go into your tax return and fix it and send it again. If it is sent through the IRS will adjust it for you. Thank you, Lisa Greene-Lewis Reply
I used Turbo Tax online to e-file my return. I just now realized that I used the wrong W-2. I used last years by accident. My return is currently pending until Jan 31 2014. Why wont Turbo Tax allow me to edit or change my return before the IRS accepts it? Will this cause the IRS to reject the return? If they reject it great but if they don’t I assume I will have to file an amended return? Will I have to pay the filing fee again to Turbo Tax and does TT online allow you to file an amended return? Sorry for all the questions but I just can’t believe I did this. Reply
Hi Mike, TurboTax won’t let you edit once you hit e-file. Once the IRS begins accepting tax returns on January 31, your tax return may be rejected by the IRS, beause your W-2 will not match their records. Your will get a message that your tax return was rejected and you will be able to go in and fix your tax return and hit e-file again. You will not be charged to fix your tax return. Also, you can amend your tax return on TurboTax online, but you don’t need to. Plus you would not be able to amend a tax return that was rejected so don’t worry. I hope that helps you. Thank you, Lisa Greene-Lewis Reply
how do you get a rejection? do you get it by mail, or do you see it on WMR or what? I totally used my last paycheck and put in my fed taxes wrong, and I know I need to amend. It is a difference of about $7500? I am ready to amend, but still waiting through processing, as I don’t want it to appear that there is a repeat ss number…this I have learned from you. I will file an amendment after I hear…it will probably be rejected….IT was an honest mistake, but it is the second year I did it..ughhh..so dumb. I have learned my lesson and will pay what I owe..just unsure how to go about doing it…thanks Lisa lla24@cox.net
I filed my 2012 taxes and did not include my student loan interest. Can I amend my return? Where do I start? Reply
I made an error in my last years taxes with the amount I put into my Ira. It turns out I put it in too late to claim thematic 2012 taxes. Do I make an amendment? What will be the interest and fees. Reply
I accidentally submitted my 2011 tax return with Turbo Tax as an independent contractor, when I was in fact an employee (FICA and Medicare were both taken out of my check every paycheck, and I really was an employee at the time, set schedules, extensive training, etc). I do not see the ability to change my status from independent contractor to employee on the 2011 tax return amendment form. What do I do? Reply
I Have a question about my taxes I’m a small business owner, For the last 4 to 5 years ive been doing my taxes with turbo tax, I have a fairly profitable business its not super rich money but really good money for the area in which i live. for the last few years i have been able to purchase some nice vehicles and motorcycles, boats etc….I know that i make decent money but after my taxes after all the reciepts and other write offs somehow its not showing that im making that much money? My Concern is the simple fact that if for whatever reason someday i would maybe get audited or something of that natural and the question comes up “where did you get the money” to purchase the cars and things when your taxes only show that your making 16k per or so? I am apparently missing something im not accountant only went by what turbo tax ask me to do?? im feel certain that i easily make more than 50k per year? im gonna go to an accountant this year to make sure im doing this the right way. but in the mean time my question is ? is it a big deal to amend my prior years of taxes? and would that raise a red flag and cause me grief? I just feel that theyre not done correct and would like to prevent any type of issue in the future.. thank you and help would be great Reply
If you did and amended return with turbo tax because of a brokerage error, and it ended up with a 7 dollars or less amount owed. Do you still need to file it with the IRS or not? I presumed you would, but wanted to verify it. Thanks! Reply
Hi Rebe, If you are aware of the error you should file the amendment, but if you don’t the IRS will adjust your tax return for the amount. Thank you, Lisa Greene-Lewis Reply
Hi, I have been separated from my wife since July of 2010. For various reasons, we have not been able to finalize the divorce so we are legally separated I suppose. We filed our tax return “Married but filing separate” so as to not mix any more of our finances. We came to learn later than as a result of this filing status we were not able to claim numerous deductions to include EIC or our child’s daycare expenses. My question is, can we re-file as single or even as married? Were it a small amount we’d let it slide but as it is now the difference would appear to be in excess of $2k. I don’t see why they don’t allow people to take deductions that are rightfully deserved when filing separate yet if you don’t want to mix your finances they require to file apart, forcing people into a tight spot. It’s not just. Reply
I e-filed my 2012 returns thru via turbotax. I received a refund from Fed but had to pay state. Then I discovered I had to file an amended 2011 return. The amended 2011 returns have been processed and I have received additional 2011 refunds + interest from federal and minnesota state. Do I now have to amend my 2012 fed and state to report the additional refund amounts ?? Thank you Reply
I had my Girlfriend living with me in 2010 tax season. while she was unemployed so they prepared my taxes as her being my dependent. On my 2011 taxes she was making minium wage and I figured they would either put the same or Domestic partner. We split up right after tax season ended. she did mail me my refund but no paer work. when finally obtained a copies of the taxes I Realized they had me filing as married? please help me. this year i filed single. Reply