My husband and I are filing separately due to his school loan program. I rushed through preparing his taxes due to a loan servicing deadline. After e-filing I went back through both of our returns and realized I had skipped a step or two. I updated some information and the amount he owes was reduced. Apparently he is now not required to pay the underpayment penalty?? In order to file an amended return, I apparently need to get his return back to the original status. Unfortunately, I don't know how to get back to the screen where I updated the information and I have no idea what I could have changed that would have waived the penalty. Any ideas?
If you have copies of your Original Tax Returns that you filed, you can manually prepare your amended returns. Print out a copy of your Adjusted (Amended) Tax Returns that you prepared in TurboTax. Print out and complete your 1040X by following this link: IRS Information on 1040X
If you have any problems, please reach out to us here on the Community Board.
The logistics of how to fill out an amended return are less of a concern than making sure that it’s accurate. I don’t understand why turbo tax is now saying the underpayment penalty is no longer required. I would prefer not to pay it but I also don’t want to commit fraud
Since we in the Community cannot see your tax return, we will have to offer some guesses as to what happened.
You are assessed an underpayment of estimated tax (form 2210), if your tax due is over $1,000 and you did not pay 100% of the current year tax and you did not pay at least 90% of last year's tax.
When you went through again and reduced your spouse's tax, perhaps it was reduced to less than $1,000, in which case he met one of the exceptions. Please see IRS Tax Topic 306 for more information.
Nope. The amount he owes is still well above the threshold. When I look at the pdfs (original and post-correction) the only difference I see is that there is inexplicably no underpayment penalty on the revised version. The difference in amount owed is equal to the penalty on the original filing.