Amend tax help

[kevinb312]

What is the name of your state (only U.S. law)? Illinois


Not a big amount but I had some horse winnings from 2012 and 2013 and paid the taxes on the winnings after I got a letter from the IRS. Didn't even realize you could deduct your losses into that amount until lately. Doing a little reading now and it seems that you can only amend up to three years from what I have read. First, seeing if that is true or not? Is it too late for both of those years? If not, do I just need a 1040X? Very lost when it comes to this. Thanks for any help

 

[LdiJ]

What is the name of your state (only U.S. law)? Illinois


Not a big amount but I had some horse winnings from 2012 and 2013 and paid the taxes on the winnings after I got a letter from the IRS. Didn't even realize you could deduct your losses into that amount until lately. Doing a little reading now and it seems that you can only amend up to three years from what I have read. First, seeing if that is true or not? Is it too late for both of those years? If not, do I just need a 1040X? Very lost when it comes to this. Thanks for any help

Its too late to amend 2012, that has expired. You would have until April 15th to amend 2013, it will expire then. However, you can only deduct losses to the extent of your winnings, and only if itemizing deductions would give you a better result than taking the standard deduction. Unless you itemized on the original return the loss deduction may not do you any good.

 

[adjusterjack]

What is the name of your state (only U.S. law)? Illinois


Not a big amount but I had some horse winnings from 2012 and 2013 and paid the taxes on the winnings after I got a letter from the IRS. Didn't even realize you could deduct your losses into that amount until lately. Doing a little reading now and it seems that you can only amend up to three years from what I have read. First, seeing if that is true or not? Is it too late for both of those years? If not, do I just need a 1040X? Very lost when it comes to this. Thanks for any help

You will also need to document your losses.

If you didn't keep the losing tickets you wouldn't likely be able to do that and the deduction is likely to be disallowed if you get audited.

 

[kevinb312]

All of the horse winnings and losses are online on a legal horse wagering site. I did not put any winnings/losses at all when I filed in 2013. I received a letter saying they corrected it with the winnings(guessing only what got reported over $600). As long as I fill out a 1040x with all of the winnings and losses, should it be ok? Do I need to fill out something different for a W2G (over $600) or just put all the winnings and losses I have. Thanks

 

[LdiJ]

All of the horse winnings and losses are online on a legal horse wagering site. I did not put any winnings/losses at all when I filed in 2013. I received a letter saying they corrected it with the winnings(guessing only what got reported over $600). As long as I fill out a 1040x with all of the winnings and losses, should it be ok? Do I need to fill out something different for a W2G (over $600) or just put all the winnings and losses I have. Thanks

I really do not recommend that you attempt this by hand. I am a tax professional and I would not do an amended return by hand if someone paid me $1000.00 to do it.

You would need to send the 1040X, the revised 1040, and Schedule A.