E-filed return, additional income

[Bird Legs]

Completed a tax return and was waiting on the signed 8879 to E-file it for the client. Refund due.
Today, in the mail, client received a 1099-INT in the amount of $10.50.
Would you file add this to the return or just E-file the return as is without this additional
$11.?

[Bill Tubbs]

include it

Completed a tax return and was waiting on the signed 8879 to E-file it for the client. Refund due.
Today, in the mail, client received a 1099-INT in the amount of $10.50.
Would you file add this to the return or just E-file the return as is without this additional
$11.?

Include it. Doubt the IRS would send a nasty-gram regarding a missing $11, but the couple extra $$ in taxes right now is a small insurance policy -- plus, the perjury statement.

There is some room to play with the amounts on the signed 8879 -- I think if the income changes by less than $50 then the 8879 is still valid.

Bill

[Kong]

Bird Legs

I would include additional $11.00 now.

If for any reason this client forgot any additional forms you will be blamed. By including this amount you will avoid future problems. Have client sign new 8879 form.

If this client brings in additional forms later, charge for a amended return, or at least charge for a reprint charge. Be firm but fair.

[ecb34691]

Don't need new 8879, as stated there is leway.

[Larmil]

Don't need new 8879, as stated there is leway.

How much is the leeway? I thought it was $25.00 income or $5.00 tax. OP said $50.00.

[Brad Imsdahl]

TTB, page 15-11, "New signature required. If a declaration has already been signed by a client and a correction is made on the return, a new signature is required if the correct amounts differ by more than either $50 to total income or AGI, or $14 to total tax, federal income tax withheld, refund, or the amount owed."

[Chief]

Wait a while

This is the very reason I have started waiting a few weeks before efiling. Especially where the client is paying. There is no hurry to efile. Where they get a refund and insist on efiling I charge for an amended return when the client brings me additional documentation. All of my amended return wait until after tax season ends before completion. Any amount is treated as an additional amount to be reported.
For the first few years I did not charge for amended; now I am wiser.

[S T]

Just had my 1st one of the Season

Well just received one, a "measley" $32 1099-B for some fractional shares, return already efiled and 8879 signed.

Fortunately on this client all withholdings refunded due to Credits for Education, so this will not change the refund. Tax Liability will change, but does not affect the overall net. 10% tax bracket.

so question, place in file and worry about if and when a notice is received in 18 months, or do I amend the return (which would be no charge of course for the poor student), end result is still no change in refund.

So much for being efficient and processing returns in a speedy fashion!

Sandy