Amended Return
A corrected tax return (Form 1040-X) filed to fix errors or omissions on an original return, such as unreported income, missed deductions, or incorrect filing status.
An amended return is filed using Form 1040-X when you need to correct errors on a previously filed tax return. Common reasons include discovering unreported income, claiming a missed deduction or credit, correcting your filing status, or updating the number of dependents.
You generally have three years from the date you filed the original return (or two years from the date you paid the tax, whichever is later) to file an amended return claiming a refund. There is no penalty for filing an amended return to correct an honest mistake, even if it increases the tax you owe, though interest will accrue from the original due date.
Amended returns can now be filed electronically for the 2021 tax year and later, though paper filing is still an option. Processing typically takes 8 to 16 weeks. If you need to amend a state return as well, you must do so separately with your state tax agency. Note that minor math errors are usually corrected automatically by the IRS and do not require an amended return.
Related Terms
Tax Return
The form(s) you file with the IRS to report income, claim deductions and credits, and calculate your tax liability or refund. For individuals, this is Form 1040.
Audit
An IRS review of your tax return to verify that income and deductions are reported accurately. Audits can be conducted by mail, at an IRS office, or at your home or business.
Tax Liability
The total amount of tax you owe for the year before accounting for payments, withholding, and refundable credits. It is the bottom-line tax calculated on your return.