Your Guide to Previous Tax Returns

Welcome to Module #10! In this segment, we'll delve into the realm of previous tax returns. Whether you're navigating amended returns, dealing with back taxes, or ensuring you have the right documentation, we've got you covered. Let's unravel the nuances of your tax history and ensure you're on solid ground.

Amended Returns:

If you discover an error or omission on a previous tax return, you may need to file an amended return using Form 1040-X. The time limit for filing an amended return is generally within three years of the original filing date. Amending a return can result in additional tax owed or a refund.

Key Tax Form: Form 1040X (Amended U.S. Individual Income Tax Return).

INSTRUCTIONS https://www.irs.gov/pub/irs-pdf/i1040x.pdf

Prior-Year Tax Documents:

Keep copies of tax returns and supporting documents for at least three years. Certain situations may require you to retain tax records for a longer period, such as documentation related to property transactions.

INSTRUCTIONS https://www.irs.gov/businesses/small-businesses-self-employed/how-long-should-i-keep-records#:~:text=Keep%20records%20for%203%20years%20from%20the%20date%20you%20filed,securities%20or%20bad%20debt%20deduction

Back Taxes:

If you owe back taxes, it's crucial to address the issue promptly to avoid penalties and interest. The IRS offers various options for repayment, including installment agreements. Seek professional advice to explore the best approach for your specific situation.

INSTRUCTIONS https://www.irs.gov/businesses/small-businesses-self-employed/filing-past-due-tax-returns

Tax Transcripts:

Tax transcripts are summaries of your tax return information and can be obtained from the IRS. They are useful for various purposes, such as verifying income when applying for a mortgage or student loan. Different types of transcripts are available, including tax return transcripts and tax account transcripts.

Key Tax Form: Form 4506-T.

INSTRUCTIONS https://www.irs.gov/pub/irs-pdf/f4506t.pdf

Filing Status Changes:

Changes in marital status or family structure may impact your filing status. Choose the filing status that best fits your situation, such as Single, Married Filing Jointly, or Head of Household. Consult IRS guidelines to determine the correct filing status for your circumstances.

Key Tax Form: For Married Couples: Form 1040 (U.S. Individual Income Tax Return) if filing jointly.

For Divorcees or Separated Individuals: Form 1040 as single or head of household.

INSTRUCTIONS https://www.irs.gov/pub/irs-pdf/i1040gi.pdf