If you received a corrected 1099-R and paid tax on $450 more than you should have, you have a few things to consider:
- Amend Your Return: File Form 1040-X to correct the error. This ensures your tax records match the IRS's records, as the corrected 1099-R was likely sent to them.
- IRS Statement. "If you receive the missing or corrected Form W-2 or Form 1099-R after you file your return and the information differs from your estimates, you must file Form 1040-X, Amended U.S. Individual Income Tax Return."
- Consider the Cost: If amending your return costs more than the $450 you overpaid, you might decide it's not worth it. However, accurate records can prevent future issues.
- IRS Notice: Not amending your return could lead to discrepancies with the IRS, potentially triggering a notice.
