Filing 1040X for 2010 1040EZ

[mircpa]

Hello

I have a client who filed 1040EZ with turbo tax for 2010 with 35,000.00 wages income, forgot to include schedule D with stock sales worth $ 109,272.00 and cost basis of $ 111,969.00 ST loss of (2,697.00). He paid federal taxes of $ 3,485.00 with effective tax rate of 13.4% I am preparing amended tax return and including SCH D, my software is not reducing AGI from from 35,000.00 to 32,303.00. Can I replace originally filed 1040EZ with 1040 and amend so that it picks up loss?.

$ 2,697.00 * 13.4% = 361.00 If not is this loss benefit forfeited. somebody please share their experience.

[Jack from Ohio]

1. Create a new return that duplicates his original return in every detail.
   
2. In ATX, with the return you just created open, click on return, then choose amend return.
   
3. A new return will be created and it will be tagged (AMENDED).
   
4. Add the 1040 which will remove the 1040EZ and put the numbers in the correct place on the 1040.
   
5. Add Schedule D and make all other changes.
   
6. 1040X will be ready and show the increased refund.
   

[mircpa]

To Jack

thanks for your help

[Pacun]

Create a 1040 that mimics the 1040EZ and make sure that the buttom line agrees on both forms, save it and select amend return. Add Sch D to the amended return and mail 1040X and Schedule D.