understated self employment income Will I have to pay more for Turbotax to amend?

[stelarson]

I jumped the gun on filing my taxes and understated my self employment income by $270. I received the 1099-misc a week later showing the higher figure. I had forgotten that I had received the first two payments for my self-employment to a different bank account before I switched to the permanent one. I have such a low income that it should not make much of a difference to my total taxes, only the percent of $270 that pays for social security tax and Medicare. I have two questions: Can I skip amending the filing, and will I have to pay for a Turbotax upgrade to amend?

[AnnetteB6 · Accepted solution]

If you received a Form 1099-MISC reporting the self-employment income and it was not included as part of your tax return, then you may be contacted by the IRS at some point for not reporting all of your income.  If you are contacted, the return will most likely be adjusted by the IRS and you will be billed for any unpaid taxes, penalties, and interest.  Even if it is not much, it could add up.  So, you can skip amending your return, but it may not be the best idea.

If you have already reported Schedule C self-employment income as part of your tax return, then you should not need to upgrade in order to amend your return and add the unreported income to the Schedule C.