Amended Returns

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Amended Returns

Overview of Amended Return Preparation Process in TaxSlayer

TaxSlayer Navigation: Access the federal and state amended return screens from the navigation MENU on the

left side of the screen.

The Protecting Americans from Tax Hikes (PATH) Act of 2015 prevents taxpayers using newly issued tax ID numbers to

retroactively claim refundable tax credits in prior years. For example, someone who filed a tax return under an ITIN and

later got an SSN cannot file amended return(s) to claim EITC.

The option to electronically file an amended return is only available for tax year 2019. All other amended returns must be

mailed to the IRS. Direct deposit/debit is not available for amended returns.

If the VITA/TCE site amending the return prepared the original return in TaxSlayer, print a copy of the return. A copy of the

original federal and state returns is available in the Client Status section on the Office Client List page.

Oce Client List

To view and print the original filed and accepted return, go to the client list.

Clicking on these

links displays the

original accepted

return.

If the VITA/TCE site amending the return did not prepare the original return in TaxSlayer, the site will need a copy of the

original return. See “Amended Returns - Original Return Not Created by the Site Preparing the Amended Return” later in

this tab.

When changing the filing or residency status, TaxSlayer warns that all state returns will be deleted. Regardless of the

state, the steps to amend a state return are consistent. TaxSlayer asks for the state refund amount or the amount paid if

there is a state balance due.

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Amended Returns (continued)

Completing an Amended Return that was Accepted in TaxSlayer (Site prepared the original filed return)

1. Pull the original tax return amounts to Form 1040-X, Amended Return, original column by taking the following steps:

a. Find and open the original return in TaxSlayer.

b. Make all necessary changes to the return based on the new information from the taxpayer. (For example, if the

taxpayer needs to add a Form W-2, add it now as you would if preparing a return normally.)

c. When you nish making changes, select 20XX Amended Return. TaxSlayer displays the Amended Tax Returns -

Form 1040-X page:

d. Select Begin on the Original Return Information line.

e. Because the IRS accepted the return through TaxSlayer, the software defaults the original accepted return

information on this page. Review the information using the printed original return. If any information needs to be

changed, change it here.

f. If the taxpayer is changing personal exemptions, has changed their address, or wants to change an election for

the Presidential Election Campaign Fund, select the appropriate check boxes at the bottom of the page.

g. When nished, select Continue.

2. Amend the State Return (if needed)

a. Select Begin on the Create Amended State Return line. If there are no state changes, skip to step 3.

b. Select Amend State for the state you need to amend.

c. Select Begin on the Amended Return line.

d. Read the screen and select Yes from the drop-down list.

e. Select Begin on the Review and Complete Amended Return line.

f. Select Begin on each line of the State Return: Review and Complete Amended Return page. Use the printed

original return to ensure all information has been entered correctly based on the original accepted return.

g. When you nish reviewing all information, select Back.

h. TaxSlayer Pro displays the State Return: Amended Return page. When nished with all the information for the

amended return, select Save, then Exit return to leave the state’s page. Repeat as necessary for other states.

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Amended Returns (continued)

3. Explain changes

a. Go to the Amended Tax Return – Form 1040X page, then select Begin on the Explain Changes line.

b. Enter an explanation for each change in the box provided.

4. Print Return and assemble the Form 1040-X package to be mailed

a. From the Amended Tax Return – Form 1040X page, select Print Amended Return, select Begin, then

Continue. On the “Print Results” page select Print your 20XX Tax Return.

b. In the pdf of the return, examine Column A to verify all lines from the original Form 1040, U.S. Individual Income

Tax Return, have transferred. Next, examine Column B to verify that the amendment change(s) you entered

appear on the correct line(s) of the column. Then verify that the amount(s) on line(s) changed appear in the

correct total amount(s) of these lines in Column C.

c. Verify the correct amount overpaid or owed. On page 2, verify that all information is correct and that appropriate

boxes are checked for qualifying children eligible for Child Tax Credit.

d. If the state form is amended, scroll down the pdf to the state forms and verify that additions to or subtractions

from the federal AGI that were manually made on the amended state return are correct.

e. Ask a Quality Reviewer to double-check all entries on the amended return.

f. Print tax forms as indicated in the table below (If a state amendment is not needed, skip state forms)

g. For an amended return, Form 1040-X is the payment voucher if a balance is due. The taxpayer should simply

enclose a check with the amended return.

h. Verify the state payment voucher amount (if used for your state) and that state amended return requirements are

met.

i. Have taxpayers sign the 1040-X and the state amended return. Advise the taxpayer the amended return should

not be led until the refund or the original return has been processed. Remind taxpayers to enclose payment – if

payment is due.

j. Attach any new or corrected documents (like a late 1099-R, Distributions from Pensions, Annuities, Retirement or

Prot-Sharing Plans, IRAs, Insurance Contracts, etc.). Do not attach the original return.

k. If responding to a notice from the IRS, send the federal amended return to the address shown in the notice. If not,

use the address in the 1040-X Instructions.

Tax Forms Total IRS State Taxpayer

1040-X 3 1 1 1

1040 (with “As Amended” written across the top) 1 1

Any federal forms changed or added 3 1 1 1

State voucher (if any) 1 1

Any required State forms 2 1 1

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Amended Returns - Original Return Not

Created by the Site Preparing the Amended Return

1. Since the return does not currently exist, create a federal return and state return, if applicable, that includes the

amended information. These return figures comprise Form 1040-X, Column C.

For any return with multiple information-reporting documents, as an alternative to entering every document, add

the documents together. The software requires an EIN and business address to calculate and place information

on the correct line of the tax return. Choose an EIN and business address from the available information-reporting

documents for software input. All information-reporting documents that support changes must be included with the tax

return. If applicable, create state return.

• For returns with adjustments, credits, and additional schedules:

a. Schedule C with no required amendment can be created by using the net prot as total income.

b. Schedule D with no required amendment can be created by using one transaction for long term and/or one

transaction for short term. Enter the net gain as the sales price with no basis.

c. Adjustments and credits information is entered as applicable.

2. Go to the 20xx Amended Return menu > Original Federal Return Information screen to provide the original return

information.

• This menu populates Form 1040-X, column A.

• Form 1040-X columns C will populate based on the return prepared with the amended information.

Column B will populate based on the dierences between Columns C and A.

• Go to the Amend State Return screen.

• Select Edit Amended link at Amended State Return screen.

• Select Amended Return.

• Select Yes at the Create Amended Return box.

• Complete entries at Review and Complete Amended Return screen, particularly entries involving dollar

amounts.

3. When you have confirmed or entered all amounts from the original return, continue with steps 3 through 4 on the

Amended Returns page.

The Economic Impact Payment’s Non-Filers tool was not intended for use by taxpayers who also needed to le

a tax return with the IRS for tax year 2019. If a taxpayer used the Non-Filers tool to register for an Economic Impact

Payment, they cannot now le their tax return electronically. Instead, complete and print a paper 2019 Form 1040 or 1040-

SR tax return, write “Amended EIP Return” at the top, and mail it to the IRS. For more information, visit the Amended EIP

Return page at https://www.irs.gov/newsroom/amended-eip-return.