Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Level 1
posted Feb 17, 2025 5:31:51 PM

Removing income on Amended Return

I need to amend a few returns because of the passage of HR 5863 - Federal Disaster Tax Relief Act of 2023. The legal award I claimed as income is now retroactively tax exempt. Do I simply delete the amount I entered into the misc income data field in the addition column, or do I enter an identical amount in the data field in the subtraction column so the two amounts off set.

0 2 2115
2 Replies
Expert Alumni
Feb 18, 2025 5:53:50 AM

I would enter a negating entry to help explain your stance for eliminating the income.

 

  • Go to:
    Wages & Income
    Less Common Income
    Miscellaneous Income, 1099-A, 1099-C    
    Other reportable income    START

    Type " HR 5863" or something similar for the Description 
    Enter the amount as AS A NEGATIVE NUMBER  (put a minus sign in front (-) 

Level 15
Feb 18, 2025 6:02:47 AM

removing an addition by changing it to -0- is more correct.

Either way the difference will appear in Col (B) of Federal1040-X

 

 

1040-X Explanation is where you tell the IRS why you are filing for a refund.

are you amending a state tax return?

the same principle applies.

@KELC