What Is an Amended Return?
An amended return is a tax form that taxpayers can use to make corrections or changes to their original tax returns. It allows them to correct errors, add information, and claim additional deductions or credits after they have already filed their taxes. The Internal Revenue Service (IRS) requires taxpayers who need to amend their returns to file Form 1040X for individual income taxes and Form 1120X for corporate income taxes.
When filing an amended return, it’s important that the taxpayer include all of the necessary documents such as W-2 forms, 1099 forms, receipts from charitable donations, etc., in order to ensure accuracy. Additionally, if any refunds are due as a result of amending the return then those must be included with the form when submitting it back to the IRS. Depending on how complex your amendment is and what type of documentation you provide will determine how long it takes for your refund check or credit balance adjustment from the IRS.
What Are the Different Types of Amended Tax Returns?
An amended tax return is a document that taxpayers can file with the Internal Revenue Service (IRS) to make changes or corrections to their original tax returns. Amended returns are used when taxpayers need to correct errors, add information, or claim additional deductions and credits after filing their initial return. There are several different types of amended tax returns available depending on the type of change being made.
The most common type of amended return is Form 1040X, which is used for making changes to an individual’s federal income taxes. This form allows individuals to amend any part of their original 1040 form including income, deductions, exemptions, and credits. Other forms such as Form 1120X and Form 941X can be used for amending corporate taxes and payroll taxes respectively. Additionally, state-level amendments may require separate forms depending on the state in question; these forms typically follow similar guidelines as those outlined by the IRS but vary from one jurisdiction to another.
How to File an Amended Tax Return
Filing an amended tax return is a process that can be done to correct errors or omissions on your original tax return. It’s important to note that you should only file an amended return if the changes will result in a lower amount of taxes owed, as filing an amended return may increase the amount of taxes due.
To begin the process, you must first obtain Form 1040X from the Internal Revenue Service (IRS). This form allows taxpayers to make corrections and/or additions to their previously filed returns. Once completed, it should be mailed along with any supporting documents such as W-2 forms or other income statements directly to the IRS office where your original tax return was sent. Be sure to include copies of all relevant documents rather than originals so they are not lost in transit. Additionally, keep a copy for yourself for future reference purposes. After submitting your amended tax return, allow up 8 weeks for processing before contacting the IRS regarding its status.
Disadvantages of an Amended Tax Return
An amended tax return can be a necessary step for taxpayers who have made mistakes on their original filing. However, there are some disadvantages to amending your taxes that should be considered before taking this route.
First, an amended tax return takes longer to process than the initial filing and may take up to 16 weeks or more for the IRS to review it. This means that any refund due from the amendment will also take longer than usual to receive. Additionally, if you owe additional taxes as a result of the amendment, you must pay them in full by the deadline stated on your notice from the IRS or face penalties and interest charges. Furthermore, if you make errors when submitting an amended return, it could lead to further delays in processing time and even potential audits by the IRS which would require additional paperwork and documentation from you.