How to Amend Tax Returns - TurboTax Tutorial

EA Tax Resolutions
19 Feb 202409:24
EducationalLearning
32 Likes 10 Comments

TLDRThe video script offers a step-by-step guide on how to amend a tax return using TurboTax. It covers scenarios where taxpayers might have missed a document like a W2 or 1099, or forgotten to include a deduction. The guide explains how to access the amendment feature for both current and prior years, how to update tax forms, and the importance of accounting for expenses against income. It also addresses how to include explanations for changes made, navigate through the review process, and the need to amend both federal and state returns if necessary. The script emphasizes the importance of using certified mail with a return receipt when mailing the amended return to ensure it reaches the IRS and the state tax department. The video aims to assist taxpayers in correcting their tax returns accurately and efficiently.

Takeaways
  • ๐Ÿ” **Amending a Tax Return**: Use the FAQ button in TurboTax to find out how to amend your tax return for the current or prior year.
  • ๐Ÿ“„ **Missing Documents**: If you missed a document like a W2 or 1099, you can add it during the amendment process.
  • ๐Ÿ’ฐ **Updating Income**: You can include self-employment income and expenses that were missed in the original return.
  • ๐Ÿ“ˆ **Adjusting Deductions**: Amend your return to account for any deductions or credits that were forgotten.
  • ๐Ÿ”— **Link to Resources**: There are videos available to guide you on how to input missing tax forms like a 1099 into TurboTax.
  • ๐Ÿ“ **Explanation of Changes**: Provide a clear explanation for the amendment, as it will be part of the return.
  • ๐Ÿก **Same Mailing Address**: Keep your mailing address the same unless there has been a change.
  • โš ๏ธ **Review for Errors**: TurboTax will prompt you to review and fix any errors before finalizing the amendment.
  • ๐Ÿ“ง **Amending State Returns**: If you amend your federal return, you may also need to amend your state return.
  • ๐Ÿ” **Review Process**: Use the Smart Check feature in TurboTax to review your amended return for any potential issues.
  • ๐Ÿ“ฎ **Mailing the Amended Return**: Print out the amended return and mail it to the IRS and state tax authorities using certified mail with a return receipt.
  • โณ **Processing Time**: Be aware that it may take 6 to 8 weeks for the amended return to be processed.
Q & A

  • What should you do if you need to amend your tax return for the current year on TurboTax?

    -Log in to your TurboTax account, find the FAQ button, and click on it to access the 'Amend' option for the current year.

  • How do you amend a prior year's tax return on TurboTax?

    -Navigate to the prior year's return, check the box for the prior year, and then find the 'Amend' button at the bottom to start the amendment process.

  • What is the recommended action if you discover a missing 1099 form on your tax return?

    -Add the missing 1099 form by filling it out directly from the original document and ensure to account for any related expenses to adjust the taxable income.

  • Why is it important to review other areas of your return after amending for a 1099 NEC?

    -Reviewing other areas allows you to account for expenses against the new income, ensuring that your taxable amount is accurately reflected.

  • What should you do if you need to include a deduction or credit that was missed in the original return?

    -Go through the amendment process and ensure to include the missed deductions or credits to adjust your tax liability accordingly.

  • How should you explain the changes made during the amendment process on TurboTax?

    -Provide a clear explanation of the changes, such as 'amending the return to include self-employment income and expenses,' as this explanation will be included on the return.

  • What is the recommended method for mailing the amended tax return to the IRS and state?

    -Use certified mail with a return receipt for both the federal and state amended returns to ensure they are received and to have proof of mailing.

  • How long should you expect to wait for the processing of an amended tax return?

    -Processing times for amended returns can take up to 12 to 16 weeks, so it's important not to expect a quick refund.

  • Why is it necessary to amend both the federal and state tax returns if there are changes?

    -Changes in the federal return can affect the state return, so it's important to ensure both are consistent and accurately reflect the updated information.

  • What is the purpose of Schedule X when amending a California state tax return?

    -Schedule X is used to reconcile the originally issued refund with the refund or tax amount shown on the amended return, and to calculate any difference that may be owed.

  • How can you ensure that you are correctly amending your state tax return on TurboTax?

    -Follow the prompts in TurboTax to amend the state return, and double-check the information, especially on Schedule X, to ensure accuracy.

  • What should you do if there are errors during the review process of your amended return on TurboTax?

    -Address and correct any errors highlighted by the review process to ensure the accuracy and acceptance of your amended return.

Outlines
00:00
๐Ÿ“ Amending Your Tax Return in TurboTax for Current Year

This paragraph explains the process of amending a tax return using TurboTax for the current year. If you've missed a document like a W2 or 1099, or you want to include a deduction you forgot, you can amend your return. The user is guided to log in to TurboTax, find the FAQ button, and click on it to start the amendment process. The user is instructed to select the current year and then choose the reason for the amendment, such as updating tax forms or changing something else. The example given involves adding a 1099-NEC form for self-employment income. The user is reminded to also amend other areas of the return to account for expenses against the income. The paragraph concludes by emphasizing the importance of providing a clear explanation for the changes made and completing the amendment process.

05:01
๐Ÿ“ฌ Mailing Amended Returns for Federal and State Taxes

This paragraph discusses the steps to follow after amending a tax return in TurboTax, specifically for the state of California. It advises waiting until receiving a refund before amending the return to ensure accuracy. The user is guided through the process of entering the refund amount, selecting the reason for amending, and transferring the changes to the state return. The paragraph also covers reviewing the amended return for errors and preparing to mail the return. It is noted that while the video script initially suggests that amended returns cannot be e-filed and must be mailed, this is not entirely accurate as professionals can e-file them. The user is reminded to use certified mail with a return receipt to ensure the IRS and state tax authorities receive the amended return. The paragraph concludes with a reminder to check the return for the correct mailing address and to separate federal and state returns into different envelopes.

Mindmap
Keywords
๐Ÿ’กTax Return
A tax return is a document that individuals and businesses submit to the tax authorities to report their income, expenses, and other relevant financial information for a specific tax period. In the video, the main theme revolves around the process of amending a tax return through TurboTax, which is a software used for preparing and filing tax returns.
๐Ÿ’กAmend
To amend means to make changes or corrections to a document. In the context of the video, amending a tax return involves making corrections or additions to the original tax return to include missed information such as a W2 or 1099 form, or to account for deductions that were not initially included.
๐Ÿ’กW2
A W2 form is an official tax document provided by employers to their employees in the United States, which reports the amount of wages or salary paid to an employee and the taxes withheld from that income. In the video, a missing W2 form is mentioned as a reason someone might need to amend their tax return.
๐Ÿ’ก1099
A 1099 form is a series of documents used in the United States for various types of income other than regular wages, such as interest, dividends, or income from self-employment. The video script discusses amending a tax return to include a 1099-NEC, which reports non-employee compensation.
๐Ÿ’กDeduction
A deduction is an expense that can be subtracted from an individual's taxable income, thereby reducing the total amount of tax owed. The video explains how to amend a tax return to include a deduction that was forgotten in the original filing.
๐Ÿ’กTurboTax
TurboTax is a tax preparation software that helps individuals and businesses prepare and file their tax returns. The video provides a step-by-step guide on how to use TurboTax to amend a tax return for the current or prior year.
๐Ÿ’กSelf-Employment Income
Self-employment income refers to the revenue a person earns from being self-employed or running their own business. In the video, the speaker demonstrates how to amend a tax return to include self-employment income and related expenses using TurboTax.
๐Ÿ’กExpenses
Expenses are costs incurred by individuals or businesses in the course of generating income. The video emphasizes the importance of accounting for expenses against self-employment income when amending a tax return to lower the taxable amount due.
๐Ÿ’กAmended Return
An amended return is a corrected version of a tax return that has already been filed. The video script provides instructions on how to prepare and submit an amended return to both federal and state tax authorities when changes to the original return are necessary.
๐Ÿ’กCertified Mail with Return Receipt
Certified mail with a return receipt is a postal service that provides a mailing receipt and a delivery confirmation. The video recommends using this service when mailing amended tax returns to ensure that the tax authorities receive them.
๐Ÿ’กProcessing Time
Processing time refers to the duration it takes for a tax authority to review and act upon a submitted tax return. The video script mentions that it can take 12 to 6 weeks for amended returns to be processed, advising viewers not to expect a rapid refund.
Highlights

The process of amending a tax return through TurboTax for the current year involves accessing the FAQ button and selecting the 'amend' option.

For amending a prior year's tax return, users should navigate to the prior year section and click on the 'amend' button.

Updating tax forms and changing other aspects of the return are common reasons for amending a tax return.

If a 1099-NEC form is missing, users can add it directly through the 'add another 1099' option in TurboTax.

A video tutorial is available for inputting missing 1099 forms into TurboTax.

It's recommended to amend other areas of the return to account for expenses against the income reported on a 1099-NEC.

Users should provide a clear explanation for the changes made during the amendment process, as it will appear on the return.

The mailing address for the amended return should remain the same unless there has been a change.

Less common situations such as business credits, carrybacks, or special situations should be reviewed and selected if applicable.

Amending the federal tax return may also require amending the state tax return.

Before amending the state return, it's important to review the federal return to ensure accuracy.

The California amended return includes a Schedule X form, which details the original and amended refund amounts.

When amending a return, it's crucial to accurately report any refunds received or taxes paid to avoid discrepancies.

Users should fill out the reason for amending the return, such as reporting self-employment income and expenses.

The Smart Check feature in TurboTax helps identify errors and areas that need attention before finalizing the amended return.

Amended tax returns cannot be e-filed and must be printed and mailed to the appropriate tax authorities.

It's advised to use certified mail with a return receipt when mailing amended returns to ensure they are received by the IRS.

Processing times for amended returns can take up to 12 to 16 weeks, so taxpayers should be patient if expecting a refund.

The video provides a step-by-step guide on how to amend a tax return on TurboTax, including both federal and state amendments.

Transcripts

Browse More Related Video

Sprintax US Tax Preparation STEP 7 - ะ•-file your federal tax return with Sprintax

The Basics of Tax Preparation

Sprintax US Tax Preparation STEP 4 โ€“ Offset your expenses

When to File an Amended Return | CPA Explains

J-1 Visa Tips: How to File your U.S. Tax Return

Nonresident US tax overview for J-1 participants

Rate This

5.0 / 5 (0 votes)

Thanks for rating:

Related Tags
Tax ReturnAmendmentsTurboTaxSelf-EmploymentDeductionW21099TaxpayerCertified MailIRS