What Is an Amended Return?

Last updated on June 26, 2021

An amended return is a corrected return that is filed by a taxpayer after an incorrect return had been filed earlier. It may have corrections concerning the filing status of the taxpayer, income figures, deductions, or tax credits. ConsumerTaxReviews.org adds that any miscalculation on the part of a taxpayer does not require filing an amended return because the IRS corrects errors in math.

How to File an Amended Return

Filing an amended return requires taxpayers to use Form 1040X (Amended U.S. Individual Tax Return). This form can be used by taxpayers who earlier filed an incorrect return through Form 1040, Form 1040A, Form 1040EX, Form 1040NR or Form 1040NR-EZ.

If taxpayers are filing for an additional refund, they will need to wait till the corrected return has been cleared and they have received their correct refund.

Using Amended Return Form 1040X

Taxpayers who owe additional taxes because of the incorrect figures in the earlier tax return may use Form 1040X to file an amended return. ConsumerTaxReviews.org informs taxpayers that they can only use this form if the filing date for filing a tax return for that year has not passed.

In cases where the last date for filing falls on a Saturday, Sunday or a legal holiday, the filing due date is automatically delayed until the next business day.

Taxpayers who need to file an amended return for two years will need to file a separate Form 1040X for each year. ConsumerTaxReviews.org advises taxpayers to write the year they are filing the corrected return for at the top of the form to make sure the IRS knows which years you are filing an amended return for.

IRS Form 1040X has columns A, B and C. Column A of the form shows the original incorrect figures, and column C shows the corrected figures. Column B shows the difference between Column A and C. ConsumerTaxReviews.org points out that taxpayers should not forget to explain the reason for each change made in the specified area on the back of the form.

Points to Consider When Filing an Amended Return

ConsumerTaxReviews.org provides important points that taxpayers need to consider before filing a corrected return:

• An amended return cannot be e-filed. Taxpayers need to file it by paper.
• Taxpayers must file Form 1040X within three years from the date they filed their original incorrect return, or within two years from the date they paid the tax, whichever is later.
• If the changes made on the corrected return require another schedule or form, taxpayers need to attach that schedule or form to the amended return.
• Penalties and interest will be charged by the IRS if additional taxes are owed and not paid by the due date.

An amended return can easily be filed by taxpayers after careful consideration of important facts that involve the corrections. ConsumerTaxReviews.org urges taxpayers to file their tax returns carefully to avoid any mistakes and thus needing to file an amended return.