Just an update for anyone else looking to amend and efile an IRS-corrected return. Here is how we finally got this to work ...
Two amendment steps are required:
Step 1 - amend the return to match ONLY what the IRS adjusted - in this case, they corrected only the Unemployment Exclusion amount, so we need to create an amended return that only has that correction (method to do that is described earlier in the thread).
DO NOT electronically file this first amended return. Tell TurboTax that this will be paper filed. But DO NOT actually paper file it.
TurboTax now thinks that the most recent return filed with the IRS has values that match the IRS adjustment.
STEP 2 - (which can be done immediately after Step 1). Start another amended return.
Now make whatever other adjustments are needed for credits or other changes that were not part of the IRS corrected information.
Complete the process for that amendment, and this time you CAN tell TurboTax to electronically file Amendment #2.
We did this in September. The amended return #2 was accepted by the IRS. That was 16 weeks ago and we are still waiting (along with something like 6 million other taxpayers). But this 2-step process does appear to allow you to efile an amendment after the IRS has made some kind of adjustment to the original return.
I hope that helps a few other people.
