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Amended Tax Return

Amended Tax Return


Filing income tax returns is an essential part of the annual financial activities of individual taxpayers and businesses. However, despite the best efforts of taxpayers, errors and mistakes may creep into the tax returns filed. In such the case, the Internal Revenue Service (IRS) provides the option of filing an amended tax return to rectify the errors and update the IRS on the correct tax information.

An amended tax return is a modified version of a tax return that was previously filed, and it must be submitted on IRS Form 1040X. This provision is a tax relief measure for taxpayers who have made errors in their tax returns or need to include additional information to adjust their tax liability, such as reporting additional income or claiming a tax deduction that was not claimed on the original return.

The purpose of this article is to help taxpayers understand the amended tax return process, the reasons for filing one, and the procedures that must be followed to ensure a successful amendment of their tax returns.

Why should you file an amended tax return?

There are several reasons a taxpayer might find it necessary to file an amended tax return. Some of these reasons include:

– To correct errors: When filing tax returns, taxpayers may make mistakes and only realize it after submitting their returns. These errors could include incorrect reporting of income, expenses, or any other deductions that could affect the amount of tax owed. In such cases, a taxpayer must file an amended tax return to correct the error.
– To change filing status: When filing tax returns, taxpayers have the option to choose their filing status. However, there might be instances where taxpayers need to change their filing status. For example, if a taxpayer was previously married filing separately but now wants to file as married filing jointly, an amended return for the tax year will be necessary.
– To report additional income: If a taxpayer receives additional income after submitting their original return, they must file an amended tax return to report the additional income. Failing to report additional income can result in penalties and interest on the underreported amount.
– To claim missed deductions or credits: When filing tax returns, taxpayers should claim all eligible deductions and credits. However, some taxpayers may overlook certain income or deductions that they are eligible for. For example, taxpayers may fail to claim the earned income tax credit and child and dependent care credit, amongst others. An amended tax return can help correct this oversight and result in a tax refund or reduction in the amount of tax owed.
– To carry forward overpayments or losses: If a taxpayer overpaid taxes or had a tax loss in a previous year, they may be able to carry forward the overpayment or loss to a subsequent year. A taxpayer can file an amended tax return to carry forward the overpayment or loss. However, they should be aware that certain rules apply to carrying forward losses and overpayments, and consulting with a tax professional is advised.

When should you file an amended tax return?

The time limit for filing an amended tax return is typically three years from the date of the original tax return’s filing or two years from the date of payment of the taxes, whichever is later. For example, if a taxpayer filed their return on April 15, 2020, and made payment on July 15, 2020, they have until July 15, 2023, to file an amended tax return.

Certain exemptions and credits may have shorter time limits, and taxpayers should consult with a tax professional to determine the time limits specific to their case.

How to file an amended tax return?

To make changes to a previously filed tax return and file an amended tax return, taxpayers must follow specific procedures. Below are the steps to be followed:

1. Obtain the correct forms and paperwork: To file an amended tax return, you will need to get a of Form 1040X from the IRS website. Taxpayers who are amending tax returns for more than one year will need to complete a separate Form 1040X for each year.

2. Gather your supporting documents: When filing an amended tax return, taxpayers must provide additional supporting documentation to justify the proposed changes in the tax return. Documents that may need to be submitted with an amended tax return include W-2s, 1099s, receipts, canceled checks, and other relevant documentation for the amended tax year.

3. Complete the Form 1040X: Form 1040X has three columns to be filled out. Column A will contain the original tax return information, column B will be the changes being made, and column C will represent the current corrected figures.

4. File the amended tax return: After completing the Form 1040X and gathering all supporting documentation, send it to the IRS via mail. Ensure that the amended tax return is signed and dated, and is accompanied by any required payments. Taxpayers should keep a of the amended tax return and all supporting documentation for their records.


In conclusion, filing an amended tax return can help correct errors made on a tax return, claim additional deductions and credits, report additional income, or carry forward losses or overpayments. Taxpayers must be careful when making changes to their tax returns and ensure that they have the correct forms and supporting documentation.

The IRS typically processes amended tax returns within eight to twelve weeks. Taxpayers who have not received their refund or an acknowledgement notice after 12 weeks should contact the IRS to inquire about the status of their amendment. As with most tax matters, seeking advice from a tax professional can be helpful to ensure that taxpayers are aware of their obligations and benefit from the provisions of the tax law.

Through the Internal Revenue Service’s resources and functions, the Federal Government of the United States is responsible for distributing tax forms, imposing rules associated with a levy, and then finally collecting the appropriate taxes. Every working citizen (who meets age requirements) and all businesses who operate in the country are subjected to taxation. As a result of this great quantity numerous mistakes are possible, both on the back and front end of the process. If an individual forgets to report a good, interest, a deduction, a tax credit, an asset, or any source of income, he or she should file an amended tax return.

Taxpayer’s file an amended tax return when a mistake has been made on the previous form. Commonly amended tax returns are requested if the individual tax payer makes a mistake concerning their income, credits, or deductions. The amended return allows the taxpayer to start the tax process over again. Typically the fulfillment of an amended tax return is made clear through the Internal Revenue Service’s acknowledgment of misinformation or a procedural problem.

An amended tax return is accomplished through the fulfillment of form 1040X.These forms can be obtained online through the IRS’s website. All information should be represented accurately on the amended tax return; an explanation of the previous mistake, and new numbers (if applicable) associated with salary must be fulfilled. As a result of the plethora of forms, the response of the IRS in regards to an Amended tax return is minimal.