Did you forget something when you filed your tax return? Maybe overlooked something? Alimony income? Tip Income? Maybe another item of income? Maybe you forgot to claim a deduction or credit? It’s not too late! The good news! File an amended tax return.
You can correct a tax return that was already filed.
Failing to report an item of income will most certainly generate an IRS inquiry. That typically happens a year or more after the original return was filed. Yup, and it also happens after the interest and penalties have built up. Just what you want, right? To give the government more of your hard-earned money? Wrong! It is best to file an amended tax return as soon as possible to avoid the headache of IRS correspondence. It will also minimize any interest and penalties on any additional tax you might end up owing.
You may be entitled to a bigger tax return.
On the flip side, maybe you missed a tax break you were entitled to. That cost you money. If you overlooked a significant deduction or tax credit, you could have a refund coming to you. You certainly don’t want that to go by the wayside.
The solution is to file an amended tax return as soon as the error is discovered. The same is true if there was an omission of income. Amended returns can also be used to claim an overlooked credit, correct the filing status or the number of dependents, report an omitted investment transaction, submit information from delayed K-1s, or anything else that should have been reported on the original return.
How do I reduce what I owe the government?
If the overlooked item will result in a tax increase, penalties and interest can be mitigated. Lessen what you owe the government by filing an amended return as soon as possible. Procrastination leads to further complications once the IRS finds out something is missing. It is best to take care of the issue right away.
How long do I have to file an amended return?
Generally, to claim a refund, an amended return must be filed within three years from the date the original return was filed. Or, the amended return must be filed within two years from the date the tax was paid, whichever is later.
Need help filing an amended tax return? No problem!
If any of the above information applies to you, give Alex Franch, BS EA a call at 781.849.7200. Alex is an enrolled agent with the IRS. He can prepare an amended tax return for you and he can make sure it is done right! Remember the sooner you do this, the better off you will be.