Amended returns

[Eli]

I'm a little confused as to how to amend 2 returns originally filed as HOH. They should have filed as MFJ. Do I just take one of the returns and add the spouse and child?

Originally they each filed as HOH & claimed one of the kids and EIC. Now they are filing for bankruptcy and they need to amend the returns.



Thanks!



Eli

[DaveO]

That's the start.

You also have to include the amount of the refunds and EITC credits. Likely they will owe a bundle in taxes on the amended return. Make sure they both know they will be jointly and severally liable for the tax.

[Eli]

Where would.....

You also have to include the amount of the refunds and EITC credits. Likely they will owe a bundle in taxes on the amended return. Make sure they both know they will be jointly and severally liable for the tax.

I include those amounts. This is the 1st time I have come across this situation. Thanks for your assistance.

Eli

[jainen]

both original returns

Take the original return for the one who will be treated as the "primary" name. Copy those numbers to Column A of the 1040X. Then do an entirely new return with the combined incomes. Copy those new numbers to Column C. Finally, subtract one from the other to get Column B amounts, but don't try to match them to what was on the spouse's original return.

When you get down to Lines 17 and/or 19, put the total from both original returns.

[Eli]

Jainen, thanks...

for that explanation..it really helped me out. I appreciate that!!

Eli

P.S. Thank you too, Dave!!

[jainen]

(unsigned)

I'm assuming that you didn't do the two original returns so they aren't already in your computer. Even if they are, I recommend you leave them unchanged and create an entirely new MFJ return.

Your software should do most of the work for you. Just do a new joint return with all the right input from both taxpayers (Remember to turn off the efile option, so you don't have to type in all the W-2 information and deal with all those extra diagnostics!)

Open the 1040X form and it will fill in Column C automatically. You probably have a checkbox to automatically fill in Colum A, but that won't work for you. Enter those numbers manually (just from the primary's return, not both), as well as lines 17 and 19 (from both). Make sure you "recalculate" the return at least twice. Signatures only go on the 1040X, but attach the entire new return (unsigned).

[Eli]

I'd done amendments....

before, just never from Single or HoH to MFJ. The software makes it easy, but needed some extra work since I did not do the originals. They've got a hefty sum to pay back, plus maybe an audit situation for 2005. He had a 1099R worth 51249 - a huge loss (-49311) on a Sch C that wasn't there the years before. I'll just give him a heads up on that :-)

Thanks again for your assistance!!

Eli