Don’t panic if you made mistakes on your tax returns. You can amend tax returns and fix errors.
Common items we see that individuals misses are tax credits that they are eligible for or deductions to claim.
Here are some tips to review your returns.
When do you amend your tax returns?
With tax breaks vary every year, you could’ve missed some tax breaks that apply to you.
- Claim a tax credit or deduction.
- Add a dependent or remove one.
- Filling status adjustment (e.g. head of household, single)
- Forgot to claim taxable income on your tax return.
With clerical or basic math mistakes, you don’t need to file an amendment. The IRS corrects those small items and, if necessary, will send you a bill by mail or a refund.
IRS limits the amount of time you can file an amendment.
- You have three years from the original filing.
- Or within two years of paying the tax due.
Outside of this timeline, claiming a refund won’t be possible.
How do we amend your previous tax returns?
The good news is we can amend your tax returns along with your current ones. Even if you filed your returns with a different preparer or you did online.
Usual miss tax credits that we see:
Inaccurate filing status- Whether your family grew with a new baby or changing marital status, the optimal filing status is crucial and you can be eligible for a larger refund.
Education Credits- The rules to claim and take advantage of this credit are complicated, and errors are common. If you are a parent with students in college or you yourself in higher education, the American Opportunity Credit or Lifetime Learning Credit can be availed as a deduction or credit.
Earned Income Tax Credit– Income rules to claim this credit are complicated but taking a second look is worth it. Qualifying incomes vary depending on marital status and family size, which is one reason it’s always missed. The IRS reports approximately 20% of taxpayers do not claim it on their returns.
Child Tax Credits– Child tax credits are generous and can save you money when you owe taxes.
