How to Prepare Amended Federal and State Income Tax Return

If you need to change your filing status, exemptions, income, deduction or credits to your federal or state income tax return you already filed, you should file an amended federal or state return. You can either use tax preparation software to prepare amended returns or download tax forms from IRS and states’ website to prepare amended returns.

Prepare amended federal and state income tax return with tax preparation software

Step 1: Get a copy of the original federal and state return you want to amend.
Step 2: Use the tax preparation software for the tax year that you prepared the original return to prepare the amended returns.
For example, if you used TurboTax for 2014 to prepare your original 2014 tax return, you will use TurboTax for 2014 to prepare your amended return.
1. Check the federal and state returns you saved in the software to make sure that they are the same as the returns you originally filed.
2. Start the amended return process by following the software’s instruction for preparing amended return. Different software may have different process to prepare amended federal and state return. If you can’t figure out how to prepare amended return with a specific software, you can search instructions for amended return for this software. Generally, it should only take you about half hour or one hour to complete the preparation process for both federal and state return.
Step 3: Review the amended returns to make sure that the changes you made are correct.
Step 4: Print out both federal and state returns, sign and mail them to the address provided on the instructions generated by the software.
Prepare amended federal and state income tax return without tax preparation software
Step 1: Get a copy of the original federal and state return you want to amend.
Step 2: Prepare Form 1040X to amend federal income tax return.
1. Go to IRS website to download Form 1040X and Instructions for Form 1040X.
2. Check the calendar year that you want to amend the return and complete all the information above line 1.
3. Enter the amounts from your original return on Column A.
4. Enter the changes you want to make on the related lines on Column B and explain each change in Part III. Show any increase as positive number and decrease as negative number.
5. If the changes require you to attach related schedule(s), prepare the schedule(s) to support the changes. For example, if you are amending your federal return to apply education credit, you will need to complete Form 8863 and attach it with amended Form 1040X.
6. Enter the total of Column A and Column B on Column C and complete line 16 to line 23.
7. Complete Part I of Form 1040X only if you change the exemptions on line 4 of page 1, Form 1040X.
8. Complete Part II and Part III if applicable.
Step 4: Prepare state amended return.
1. Go to your state tax website to download amended tax forms and instructions.
The following states use the same forms that  you use to file your regular state income tax return:
You should check the box for amended return on top of the first page to indicate that it is an amended return and prepare the return the same way as you prepare your original return.
The states listed below use special forms for amended return:
2. Follow the amended return instruction to prepare the state amended return.
Step 5: Review the amended federal and state returns to make sure that the changes you made are correct.
Step 6: Sign the amended returns and mail them to the address provided on the federal and state instructions.


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