Last year when I filed for 2021, due to the pandemic i was given the option to use my W2 from 2019 instead of 2020. Will there be an option to use the 2020 W2 to file for 2021 like it was for the previous year?
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@Blackbunny2k No, there will not be a lookback for your 2022 tax return. When you prepare your 2022 return you enter a 2022 W-2---or more than one 2022 W-2 if you worked for more than one employer in 2022. But no, there is no lookback. If you get EIC it will be based only on how much you earned by working in 2022.
https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit/use-the-eitc-assistant
No. And you couldn't use a 2019 W2 on your 2020 or 2021 return. If you entered the wrong year W2 you need to amend that return. There was a lookback option for the EIC credit.
You can look back and use your 2019 income for the EIC credit instead of 2020 & 2021. How to use the Lookback provision
@Blackbunny2k You misunderstood the EIC lookback and made a big mistake. You must report the W-2 on the tax return form for the year in which you received the income. You cannot put a W-2 from some other year on a tax return for 2021.
The "lookback" was only for the earned income credit. It allowed you to use the income that was already on your 2019 tax return to get a better EIC for 2020 or 2021, but you were supposed to enter a 2020 W-2 on a 2020 tax return, a 2021 W-2 on a 2021 tax return, etc. And for 2022 you can only enter a 2022 W-2.
You will need to file amended returns to fix the ones you messed up. That return will have to be filed by mail.
Select your tax year for amending instructions:
https://ttlc.intuit.com/turbotax-support/en-us/help-article/tax-return/amend-2021-return/L1gEU4G3X_US_en_US?uid=lajteavb
Only certain paid tax pros can still e-file past year amended returns. You cannot e-file an amended return that you prepared yourself using TurboTax. Your 1040X must be printed, signed and dated in ink, and then you need to mail it in. Use a mailing service like certified mail so you will know the IRS received it, since you will have a long wait for it to be processed.
Even during “normal” times it takes about four months for the IRS to process an amended return. During the pandemic and due to the severe backlog at the IRS it is taking much longer—six to nine months or more for many amended returns. Do not expect quick results from amending. When the IRS issues a refund for an amended return it will be by check. They do not make direct deposits for refunds for amended returns. You can watch for information here:
https://www.irs.gov/Filing/Individuals/Amended-Returns-(Form-1040-X)/Wheres-My-Amended-Return-1
And it sounds like you did not even file 2021. Or did you? It is hard to tell from your post. If you did not file a 2021 return, you can do so using the 2021 W-2.
In order to file a 2021 return you need the CD/download software for 2021. And you have to file it by mail.
https://turbotax.intuit.com/personal-taxes/past-years-products/
When you mail a tax return, you need to attach any documents showing tax withheld, such as your W-2’s or any 1099’s. Use a mailing service that will track it, such as UPS or certified mail so you will know the IRS/state received the return.
Federal and state returns must be in separate envelopes and they are mailed to different addresses. Read the mailing instructions that print with your tax return carefully so you mail them to the right addresses.
I guess I should’ve written my question more clearly. Yes you are correct, it was the “lookback rule” the option of using the 2019 Earned Income for the 2021 year because it was higher than 2020 earned income. My question should’ve been whether or not if there will be a similar “lookback rule” this year again to use the Earned income of 2020 it it was higher than 2021. Hope this question made more sense than my original question.
@Blackbunny2k No, there will not be a lookback for your 2022 tax return. When you prepare your 2022 return you enter a 2022 W-2---or more than one 2022 W-2 if you worked for more than one employer in 2022. But no, there is no lookback. If you get EIC it will be based only on how much you earned by working in 2022.
https://www.irs.gov/credits-deductions/individuals/earned-income-tax-credit/use-the-eitc-assistant
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