Have you discovered that you’ve made a mistake on a tax return you’ve already filed? First of all, don’t panic, it’s actually not uncommon. Anyone can make mistakes on their returns, whether its something as simple as not having had updated your address or filing status, or a more complex error relating to investment income. As a matter of fact, it is so common, that the IRS has forms for changes that are to be made due to mistakes, and you’ll be surprised that the process of making corrections on your already-filed tax return is not as daunting as you might think.
Let The IRS Know
The first step you should take when you’ve discovered you made a mistake on your tax return is to contact the IRS to inform them. Whatever you do, don’t try to correct the problem by submitting a new tax return. Filing another return will only cause headaches for you and the IRS. Your best bet is to communicate clearly with the IRS so that they understand that your mistake was innocent and that you did not intentionally attempt this in order to avoid having to pay your taxes!
Use Form 1040X For Amendments
To make corrections to your tax return, use Form 1040X, and indicate to which filing year your correction applies. Your 1040X will need to be mailed to the IRS as this form cannot be e-filed. The back of the form is the area where you are to explain your changes and the reason for making them.
Include Other Supporting Documents
Along with the Form 1040X, if your changes involve any other tax forms or schedules, complete and mail those with the Form 1040X. The processing of your amendment will be delayed if any necessary forms aren’t included.
Find Out If You’ll Owe A Penalty For Your Error
You’ll have to contact the IRS to find out if a penalty will be applied due to your error. Penalties are imposed based on the amount of your mistake and how far the IRS is in processing your tax return. There’s a chance you will have to pay a penalty, but chances are, your fee will not be substantial. The earlier you find your error, the less the penalty should be, but only the IRS will be able to provide the actual penalty amount.
Don’t Sweat It Alone
There’s no reason to dig yourself out of your tax filing error. Call 248-909-1331 to contact the tax professionals at E&Y Agency who can help as you work with the IRS to correct your tax return.