How do I file an amended return if I made a mistake?

by | Apr 22, 2025 | General Federal Filing, Individual Taxes

Here’s what HIVE AI had to say about “How do I file an amended return if I made a mistake?”:

Filing Amended Tax Returns Electronically: Options and Requirements

Yes, You Can File Amended Returns Electronically

The IRS announced that more forms can now be amended electronically, including Forms 1040-NR (U.S. Nonresident Alien Income Tax Return), 1040-SS (U.S. Self-Employment Tax Return), and 1040-PR (Self-Employment Tax Return – Puerto Rico). This initiative has evolved significantly since 2020 when the IRS first launched the ability to file amended returns electronically, which was an important milestone to help taxpayers and the tax community. This feature helps people needing to make corrections and assists the IRS with its inventory work on the backlog of amended returns. IRS Newsroom – IR-2022-130

Which Tax Years Can Be Amended Electronically

Forms 1040 and 1040-SR can be amended electronically for tax years 2019, 2020 and 2021 along with amended Form 1040-NR and corrected Forms 1040-SS and Form 1040-PR for tax year 2021. IRS Newsroom – IR-2022-130

If you need to correct your 2022-2024 Form 1040-SS, you can now file electronically using available tax software products. IRS – Instruction 1040-SS: Instructions for Form 1040-SS, U.S. Self-Employment Tax Return (Including the Additional Child Tax Credit for Bona Fide Residents of Puerto Rico)

However, Tax Year 2021 and prior returns cannot be filed electronically after December 31, 2024. They must be filed on paper. No waiver is needed for these older returns. IRS – Publication 4163: Modernized e-File (MeF) Information for Authorized IRS e-file Providers for Business Returns

How to File an Amended Return Electronically

Most taxpayers who e-File an amended return have previously e-Filed the original. The easiest way to eFile an amended return is to update the original and attach the required XML document, as well as any supporting explanations. The amended return must have the “Amended Return” checkbox selected. IRS – Publication 4163: Modernized e-File (MeF) Information for Authorized IRS e-file Providers for Business Returns

Amended returns require at a minimum:

You should contact your preferred tax software provider to verify their participation and for specific instructions needed to submit your corrected return and to answer any questions. IRS – Instruction 1040-SS: Instructions for Form 1040-SS, U.S. Self-Employment Tax Return (Including the Additional Child Tax Credit for Bona Fide Residents of Puerto Rico)

Special Considerations for Electronic Filing of Amended Returns

Direct Deposit Now Available

Current processing time is more than 20 weeks for both paper and electronically filed amended returns, as processing an amended return remains a manual process even if it’s filed electronically. However, filing electronically cuts out the mail time, and including direct deposit information on an electronically submitted form provides a convenient and secure way to receive refunds faster. IRS Newsroom – IR-2023-22

Electronic Filing Requirements for Businesses

If a taxpayer is required to file their Form 1120 electronically, then they generally must file their amended return electronically. The Service’s Modernized e-file Platform, however, will only accept returns for the most recent tax year and two prior tax years. IRS Determination-201545017

If the taxpayer is required to file their original return electronically, then they must also e-File their amended and superseding returns. A taxpayer must receive an approved waiver to file those tax years on paper. IRS – Publication 4163: Modernized e-File (MeF) Information for Authorized IRS e-file Providers for Business Returns

Limitations for Prior Year Returns

If correcting a prior-year return, and the original return for that year was filed on paper during the current processing year, then the corrected return must be filed on paper. IRS – Instruction 1040-SS: Instructions for Form 1040-SS, U.S. Self-Employment Tax Return (Including the Additional Child Tax Credit for Bona Fide Residents of Puerto Rico)

Paper Filing Option Still Available

In general, taxpayers still have the option to submit a paper version of the Form 1040-X and should follow the instructions for preparing and submitting the paper form. IRS Newsroom – IR-2022-130

Taxpayers still have the option to submit a paper version of the Form 1040-X and receive a paper check. They should follow the instructions for preparing and submitting the paper form. Direct deposit is not available on amended returns submitted on paper. IRS Newsroom – IR-2023-22

Tracking Your Amended Return

Taxpayers can use the “Where’s My Amended Return?” online tool to check the status of their electronically-filed Form 1040-X. IRS Newsroom – IR-2022-130

No matter how a taxpayer files the amended return, they can still use the “Where’s My Amended Return?” online tool to check the status. IRS Newsroom – IR-2023-22

Potential Penalties for Incorrect Electronic Filing

Under § 301.6011-2(c)(4)(ii)(A), a person required to file an original information return covered by § 301.6011-2(b) electronically must file any corrected information return corresponding to that original return electronically. A failure to file a corrected information return electronically when required to do so is a failure to correct the corresponding original information return. For example, if a corporation was required to file its 25 corrected information returns electronically but filed them on paper instead, it has failed to correct the original information returns and is subject to penalties. Tresuary Reg. 301.6721-1

Conclusion

Electronic filing of amended returns offers several advantages, including faster processing, the ability to receive refunds via direct deposit, and elimination of mail time. While the electronic option is available for recent tax years, there are specific requirements and limitations to be aware of.

If you’re planning to file an amended return electronically, I recommend:

  • Verifying that your tax software supports electronic filing of amended returns
  • Ensuring you have all necessary documentation ready to attach
  • Double-checking that you’re within the eligible tax years for electronic filing
  • Selecting the “Amended Return” checkbox on your return
  • Using the “Where’s My Amended Return?” tool to track your submission

Remember that even though you can file electronically, the processing of amended returns still takes considerable time (currently more than 20 weeks), as it remains a largely manual process at the IRS.