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Hello, I’m Jill from Turbo Tax,
with important news for taxpayers about amending tax returns.
Have you ever discovered a mistake on your tax return
or forgot to claim a tax deduction after filing it with the Internal Revenue Service?
If so, you may want to consider filing
an amended tax return on Form 1040X.
However, before you begin preparing an amended tax return,
it’s a good idea to make sure you still have time to file it.
The Internal Revenue Service limits the amount of time
you have to file a 1040X to the later of three years
from the date you file the original tax return
or two years from the time you pay the tax for that year.
To illustrate how these two rules work, suppose you file
your 2008 tax return long before
the April 15, 2009 deadline because you were
due a $500 tax refund.
If you later discover a tax deduction you are eligible for,
but failed to claim, you have until
April 15, 2012 to file a 1040X
and collect the additional tax refund
that the deduction will provide you with.
This is because the IRS treats all tax returns you file
on or before the deadline as filed on April 15th.
However, when you file a tax return after the April 15th deadline,
you start counting the three years on the actual filing date.
But suppose your 2008 tax return reports
an amount you owe to the IRS rather than a refund.
If you file your return on time but don’t pay the tax
until May 15, 2010, you now have
until May 15, 2012 to file
an amended return under the 2-year rule.
Unfortunately, if you don’t file your 1040X on time,
the IRS has no obligation to send you an additional refund.
When you file with TurboTax Deluxe, Premier
or Home & Business, we’ll search more than 350 deductions
to help you get your biggest tax refund.
For more information about this and other tax topics, visit TurboTax.com.