Amended Return

[nichole8789]

I amended my 2023 tax return and added an additional 12k in income that I previously did not include on my original taxes. After adding that extra income, it is now saying that I owe 4367 dollars in federal taxes- Is that right? When I first added the income, on the summary it said I would only owe 393 dollars in federal, but on the 1040x it is saying that I owe 4367 (which happens to be exactly the amount of my refund last year which was 3974 plus the amount the summary said I would owe after amending my return which was 393) What is going on? Do I actually owe 4367? or 393? I am super confused :(

[rjs]

Did you already receive the refund from your original 2023 tax return? If not, do not file an amended return until you get the refund from your original return. If you did receive the refund, how much did you receive?

What kind of income was the $12,000 that you added: wages, business or self-employment income, interest, dividends, short-term or long-term capital gain, etc.?

We can't see your tax return. On your Form 1040-X, what is the amount on line 11 in column C? What are the amounts on lines 17, 18, 19, and 20?

You said "it is saying that I owe 4367 (which happens to be exactly the amount of my refund last year . . ." What year is "last year"?

Are you using TurboTax Online or the CD/Download TurboTax software?

[nichole8789]

Hi! Thank you for the response...Yes I did receive my refund for 3974 dollars, the 12k additional income was for self employment, the amounts on the 1040x show

Line 11 column c 1626

Line 17 1233

Line 18 3974

Line 19 -2741

Line 20 4367

Sorry for the confusion, when I said last year I was just referring to the 2023 tax year refund I received in the amt of 3974

I am using turbo tax online

Thx!

[rjs]

That all looks correct. You do owe $4,367.

In rough numbers, the tax you have to pay on the additional $12,000 of self-employment income is 24% income tax plus an effective rate of about 12.4% self-employment tax, which comes to total additional tax of about $4,367. So you have to pay back the $3,974 refund that you received, plus $393 to pay the total additional tax of $4,367.

If you had included the $12,000 in your original tax return you would have had a payment due of $393 on the original return instead of a refund of $3,974. That's probably where the $393 came from that you saw in a summary somewhere in TurboTax. That was before taking into consideration that you already received a $3,974 refund that you weren't really entitled to.

Amended returns can be confusing.

[nichole8789]

Thank you for taking the time to explain that to me, I really appreciate it! I just couldn't believe that was really what I owed, but it is! Thank you again for your help, have a great day!