Should I amend or not?

[next_milenium]

I efiled my 2020 return on May 3, 2021 with a Federal refund amount of $4600. Unfortunately, I still have not received the refund and the IRS website just says my return is being "processed".

I got frustrated and called the IRS and I was finally able to reach a live agent yesterday. She stated my return has not been processed and said I need to wait. She couldn't give me a good reason why it hasn't been processed yet.

So I pulled my tax transcript (hoping to see a clue on why the delay) and found something that might be the reason for the delay. I had a gambling winnings of $1200 from many months ago that I forgot to report. I'm guessing the hold up is due to my efile information not matching what the IRS has due to this omission.

So the question is, should I file an amendment now? Is it OK to file an amendment knowing my return hasn't been processed yet? Or should I wait for a response from the IRS (only god knows how long that will take) and go from there?

[GeorgeDenseff]

Filing an amendment while a return is being processed may result in confusion and further delays.  Wait until  your return has been fully processed.  If the holdup is your gambling winnings, then the IRS will contact you to resolve, usually without filing an amendment.

[xmasbaby0]

Sending an amended return will not speed up the IRS.   It takes the IRS about six month or longer to process an amended return.   The IRS might catch the income you did not enter and correct your refund.  Wait it out.  If they process it without making the correction you can amend later to enter the extra gambling income.  Do not put an amended return into the system while they are still working on your original return.

[fanfare]

 I don't see the point of waiting.

While you are not paying the tax on the unreported income your penalty interest is going up.

[next_milenium]

Since IRS owes me a refund, will a penalty and interest accrue for the income I didn’t report? I’m confused. 

[VolvoGirl]

Only if you owe some back, like if the original refund should be less.  

[fanfare]

"Since IRS owes me a refund, will a penalty and interest accrue for the income I didn’t report? I’m confused. "

Don't be confused. 

You posted above that you left off some income and didn't pay the tax on that.

Your form 1040 and form 1040-X are processed separately.