Question

IRS Accepted Return hasn't processed - error in stimulus amounts entered

Forum|Forum|5 years ago
February 13, 2021
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IRS Accepted Return hasn't processed - error in stimulus amounts entered for 2020. Do I have to file a 1040X to amend if not processed yet but "accepted"? I assume the answer is yes, it appears the software glitched on me and changed my amounts as I showed a different amount prior to hitting review and then the federal amount decreased. Looking back the incorrect amounts show in both stimulus boxes whereas before I got the "additional" amount back shown prior to this review. I checked this morning and 2,300 roughly less was being "paid back" and discovered the amounts were wrong in both boxes.

KathrynG3

Yes, you will have to amend depending if the return is accepted or rejected.

If the initial return is accepted, you will have to file an amended return to adjust the Recovery Rebate Credit. It will have to be paper filed.

To file an amended return, open your return. It will be at your Tax Home.

Scroll down to find Your tax returns & documents and Show.
Click 2020 and Amend(change).
For more details, see: How do I amend my 2020 TurboTax Online return?
Once the Amendment is started, then follow the steps below to return to the stimulus payment section.
- This will assure that TurboTax retains the original filing details to report in the first column of Form 1040-X before reporting the change in the second column and the updated return in the third column.

If the return is rejected, then you can fix the rejection and/or the stimulus payment and re-file the return.

Type stimulus in the search box.
Select the Jump to link.
Make the correction.
Re-file the return.

To verify what amount you should expect, check the IRS FAQs: Questions and Answers about the Second Economic Impact Payment

D

drivel2787Author

Yeah the return shows it is accepted by the IRS I got the email and text alert. I also read that you can e-file the 1040X to amend the return. Is this a true statement?

KathrynG3

Yes, you are correct. Typically all amended returns are paper filed. However, beginning in 2019, the federal return can be amended electronically. This may or may not be the case for any state filing. If you are only filing to correct the Recovery Rebate Credit, the state return may not be impacted at all. But, some states do include recovery credits in their calculations of household resources.

For more information, see: Can I e-file my 1040X to amend my return?

@drivel2787

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drivel2787Author

Yeah state wise doesn't impact my return at all. I'll file the amendment once it's available. I believe I could possibly wait until I get the return back and then file amendment to get additional funds so that it doesn't delay the additional more? Is that true?

KathrynG3

Yes, in your case, wait until the refund has been received before filing an amendment. It is unclear at this time whether they will automatically adjust the stimulus for returns that have reported it incorrectly.

Keep in mind, the Recovery Rebate Credit is not for additional payments if the full amount was already received. It is for people who missed part of the payment they should have received.

Click the link for the details on how each stimulus payment is calculated:

Stimulus payment 1 calculation

Stimulus payment 2 calculation