Can I file a superseded 1040 return with TurboTax?

[Lisa995 · Accepted solution]

Not electronically.   You would have to print and mail it in with the word Superseded across the top. 

Superseded returns are not  generally done with personal returns, its more commonly done with Business returns.

Amended returns are more common for personal returns, they also can only be printed and mailed in for processing.

[dpc424]

Because of a turbo tax glitch, I filed with standard deductions rather than itemized. There's a substantial difference from what I owe the IRS if I use the itemized deductions. Can I file a 'superseding return' prior to the filing deadline and pay the taxes owed based on that return (which is $1500 less)? Would I be penalized because the IRS won't process the superseding return until after the deadline? Since this is a paper filing, would I need to attach W-2s and 1099s (annuity income)?

Or would it be better if I filed an amended return 1040x after the filing deadline and have the IRS owe me the $1500?

[mulligan87]

Was hoping to revive this question as I just received a notice of unpaid taxes from the IRS after filing a superseding return. Anybody had experience with this?

A little background info...

I filed my original return via e-file. Almost immediately after filing, I realized I forgot to include some investment income while also failing to take advantage of the late IRA contributions made on behalf on my wife.

A week later I filed a  superseding return (on paper and submitted before filing deadline), and paid the tax due based on that return, but it appears that the superseding return was not processed (sent it certified and have POD).

Am I screwed? Any advice would be very much appreciated.

[Critter-3]

First you had to mail in a 1040X amended return since there supersede is a business return process. 

Next that notice tells you the original return has finally processed   and  you should have paid the original balance due prior to mailing in the amended return so this notice could have been avoided.   

So since you did not  pay the original balance due you should call the number on the notice and alert them that you did make a lesser payment  when you mailed in the amended return (which could take 6 months or more to process).  Also review the amended return ... since you didn't pay the original balance due line 16 should have been blank/zero. 

Look at the form 1040X …

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.

[mulligan87]

Thanks for the info Critter-3, I've had to do a 1040X in the past and very well may have to do it again this year.

But I'm wondering if you've seen the article regarding superseding returns from the IRS' NTA blog (below)?

Taxpayers may file a 2020 Superseding Return 

The article seems to suggest that superseding returns are an acceptable option for individual tax payers provided they are done correctly (on paper, submitted before the filing deadline, have all supporting documentation, etc).

I suppose I will have make an additional payment to satisfy the amount owed on my original return and hope that the superseding return does eventually get processed.

If not, 1040X it is.

[mulligan87]

For some reason the link breaks in the editor, but here is the excerpt:

Superseding Returns

In my April 29, 2020, blog, I called attention to superseding returns — returns filed after an original return but before the due date of the original return. Returns are typically due on April 15, but taxpayers can submit a Form 4868, Application for Automatic Extension of Time to File, until October 15. Taxpayers can use superseding returns to correct an error or change a tax election as a substitute for the original filed return. For example, taxpayers might elect to have an overpayment shown on an original return applied to the tax owed the following year. By filing a second (superseding) return, taxpayers can change that election and receive the refund in the current year instead.

Superseding returns are treated as a replacement of an original return, and the IRS adjusts its records accordingly (see, for example, Internal Revenue Manual (IRM) 21.6.7.4.10). As I noted in a recent blog, it is important to remember the IRS treats the original return filing date as the key date for assessment and refund statute purposes — not the date the superseding return was filed if the superseding return was filed before an extended due date.

[Critter-3]

Unless specifically required the 1040X is the customary way to change a personal return but now all you can do is wait for the IRS to eventually get around to processing the second return.  Time will tell.