E-Filing Amended Individual Tax Returns
The IRS has formally followed up on an announcement from earlier this year regarding amended individual income tax returns (Form 1040).
For the first time ever, taxpayers will be able to submit this form electronically.
The ability to file amended returns electronically has been an IRS goal for a number of years, so this is very much welcome news.
The initial phase of the process will begin with only form 1040 for tax year 2019, but there is expected to be a broadening application in the future.
Currently, there are about 3 million amended 1040s filed every year.
Prior to this development, all amended returns had to be paper filed. This option is still available to taxpayers, although the electronic version should be a much more efficient method with quicker processing.
This may not seem like a significant announcement, but based on the antiquated computer systems at the IRS, this is great achievement.
And hopefully, this is an indication of more improvements on the horizon.