Discussion:Amended return with no income tax change
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Discussion Forum Index --> Tax Questions --> Amended return with no income tax change
| 7 April 2006 | |
| Would I have to file an amended return that has no change in tax.
My client has rental properties that he had a loss on. The loss was disallowed because of his income level. I fould out he formed a partnership and put the rental properties in the partnership. He owns 1% of the partnership so he would still have a disallow loss from the partnership on his personal return. Thank you. | |
| 11 April 2006 | |
| I think it doesn't matter if there is no change in the final Tax figure. Better to file it the right way. | |
| 11 April 2006 | |
| In this case.. I would change the CF passive loss numbers on the following year return and attach a statement to the return saying (disclosing) what was done and why. What to do when all returns filed electronically, preventing attaching a statement? The matter of disclosure is why I still file alot of paper returns. | |
| 7 July 2007 | |
| On a 2006 return, when reporting a same-day exercise/sale of ISO (disqualifying), I under-reported the basis - stock price went down when sold, but I did not claim the $2000 short-term capital loss.
If I amend the return, 06 taxes won't change because the missed $2000 will just become part of the capital loss carryforward. So shall I amend the return on Sch D? Or can I just change the carryforward number on 2007 with a note as WillyB suggested? Does anyone disagree with this approach? I'd appreciate your comments. | |
| 7 July 2007 | |
| "Or can I just change the carryforward number on 2007....?"
You may do that. For IRS to disallow a C/F something for mere lack of its being even shown on a prior year return requires a statute to say IRS can do that. Not a single one does, I'll bet. | |
| 7 July 2007 | |
| The ProSeries Pro has as form "Preparers Note" for e-filing ONLY. WillyB says: What to do when all returns filed electronically, preventing attaching a statement. Well, I use this form just for that purpose. | |
| 8 July 2007 | |
| The return s/b amended, because you have to include the info from the partnership K-1. | |
Death&Taxes (talk|edits) said: | 8 July 2007 |
| Very good point, B. You do want IRS to see you acknowledged the K-1. | |
| 9 July 2007 | |
| "You do want IRS to see you acknowledged the K-1."
Why? Is there any tax effect of the K-1 in this case? | |
