I will wait to do the correction, but how will I know the return has been processed? How long should I wait?
Wait at least 6 months ... due to the Covid delay it will take at least that long to process a 2017 return. Mailing in an amended return earlier could delay things further... the amended return usually takes 4 - 6 months to process all on it's own. It is possible that your spouse will get an IRS letter requiring him to amend to itemize since you did ... if you get such a letter you can mail in your amended right away and he should respond that you are amending.
And, can I amend the return using the 2017 software I already have?
Yes you can ... you will need to print/mail the amended return in.
Do you know if the money I already sent (I paid through Official Payments) will be returned?
The money you already sent will not be returned. However, on the amended return the amount you paid will be taken into consideration and then if the change lowers the tax liability and excess paid will be refunded ...
Look at the form 1040X when it is completed …
Column A should have the figures from the original return, Column C the corrected figures and Column B the differences between the other 2 which needs an explanation on page 2 of the form 1040X.
If you completed it correctly you will see an entry on either line 16 OR 18:
On line 16 should be the amount you paid with your original return.
On line 18 should be the amount of your original refund you received.
Then you will see your extra refund on line 22 OR the new balance due you need to pay on line 20.
NOW .... my real question is why are you filing separately at all ??? It may be better if you file jointly ... so if you amend your return you may consider correcting your filing status as well. I HIGHLY recommend you use the husband's CPA to make this correction as it is not an easy situation for a novice.
