Filing amended return for 2021 - when 2021 had overpayment applied to estimated for 2022

[gustj012]

trying to file an amended 2021 (which will result in more taxes owed), but original 2021 had overpayment $ applied to estimated taxes for 2022. TT program is flagging the overpayment amount applied as an error, because it is larger than the amended overpayment calculation, so do I need to lower overpaid amount applied? Have not filed 2022 yet, but have it all ready to go, so could also adjust 2022 prior to filing it.

[DianeW777]

No, do not adjust or change your 2022 tax return. The applied refund from 2021 to 2022, will be applied to the 2022 tax return unless you have been notified otherwise. You may have to file your amended return by mail and make the correction before mailing the additional tax due.  

The IRS does not know about the amendment and will include the applied payment towards any tax on your 2022 tax return. You should file your 2022 return without waiting on the amendment.

[gustj012]

OK but what do I do about the fact that the turbo tax program is giving me an error notice on the 2 021 amended return, because the amended calculation shows a lower overpaid amount (line 34 of 1040-SR), and the original (larger) overpaid amount (line 36) is listed as the amount that was originally applied (and of course, the amount applied cannot be larger than the overpaid amount).  When printing forms for filing, it produces not only the 1040-x but also the 1040-SR revised (which is where the error message is).  Just ignore that error message and print the 1040SR anyhow??

[DianeW777]

Yes, you will not file the 1040-SR with the amended tax return.  Make sure you put your explanation on page 2 of Form 1040-X.  Attach only documents, forms or schedules that changed and any document with federal withholding,  Do not send Form 1040-SR, it is not required or wanted with your amendment.

[fanfare]

With 1040-x you can't change the original amount specified to be applied to next year.

in any case, that setting zero or non-zero in your  revised return does not change the amount of overpayment shown on your original tax return.

It's not clear to me  what is causing your error.

if you want to apply another overpayment with 1040-X to next year, that amount has to come out of 1040-X Line 21.

@gustj012