Mistakes happen, especially on tax returns. If you made a serious error on your tax return, you may want to file an amended return. It can protect you from grueling audits or even help you get the refund you otherwise would have missed out on. If you are wondering if you should file an amended return, this page will help. It will explain how to file an amended return and help you determine if it is in your best interest.
Reasons to Amend a Return
If you believe that you made a math error on your return, you really don't need to file an amended return. IRS computers correct all simple math errors for you, and sending in another return will only slow down the system.
Forgotten income information, such as W-2s and stock sales, should certainly prompt you to file an amended return. Forgetting that sort of information can land you in an audit and place multiple tax years under serious scrutiny. You should refile if you got the Social Security Number wrong for one of your children or had other errors regarding your dependents. You may also want to refile to correct your deductions, tax credits, and filing status.
How to Amend a Return
- If you filed with any 1040 form, you will need to file a 1040X by mail to amend it.
- Put the year you wish to amend at the top and make sure it falls within the last 3 years.
- Prepare individually 1040X forms for multiple years and mail them separately.
- Attach any schedules or forms to support your changes.
- Wait until you receive your initial refund before you refile.
- If you will owe on the new return, pay the tax debt from the original return on time.
- Mail the amended return to the appropriate location for the state you live in.
Considerations Before Amending a Return
You open your tax file to closer investigation when you file an amended return. If you receive a refund from your amended return, this may cause the IRS to audit you. If the refund expected from the amended return isn't substantial, you may wish to reconsider. The cost of an audit might offset the savings you made from adding a deduction or tax credit on one return.
If you left out vital income information, you definitely want to refile. This will actually prevent audit trouble with the IRS and save you a lot of money in the long run. In either case, it is a good idea to receive help from a tax professional to make sure your amended return is as accurate as possible.
If you need to file an amended return, consult a professional. Call (800) 590-4524 now or fill out the form below for a free tax debt consultation to help you decide if you should file an amended return! We'll only connect you with a tax debt relief company holding at least a B rating with the Better Business Bureau.
