Amended return processing times

[Catherine]

Anyone know how long the IRS is taking to process amended returns these days?  Client sent one in in July and has heard nothing from either the IRS or the CA FTB.

 

Thanks!

[ILLMAS]

Try the "Where is my amended return" look up from the IRS:

 

http://www.irs.gov/Filing/Individuals/Amended-Returns-%28Form-1040-X%29/Wheres-My-Amended-Return-1

[Catherine]

Duh!  I do so few amended returns I didn't even know that existed.  Will try it; thanks.

[SaraEA]

I have found amended returns to be really speedy this year.  Last year they took 12-16 weeks, so this year we told clients to not even look for their refunds before then.  This year we had only one that took 12 weeks (to the day); the others have been 3-4 weeks.  I'm still giving the 12-16 time frame though.  Better to have the client be pleasantly surprised than to start calling me every week.

 

By the way, to prove the IRS isn't speeding everything up, my clients who applied for the Offshore Voluntary Disclosure Program were finally accepted 4 months to the day after I faxed the request.  My first sense of relief was over the fact that their fines will be 27.5% instead of 50%, saving them a huge chunk of dough.  Then I realized the real relief is that they won't face criminal prosecution.  They aren't criminals, just jerks, but the IRS and other countries are no longer messing around with this.  All of my dealings have been with the tax attorney and IRS Criminal Investigation--not the usual phone and fax numbers we all have on speed dial and normal addresses we already have labels for.

 

And today I started a new habit.  I asked a client who brought in that last bit of info for his extension if he had any foreign accounts.  He asked if that was something new.  Most of us have software that automatically checks the "no" box if we don't do so manually.  That's not good enough for me anymore after seeing what happens when clients don't report foreign accounts.  Interestingly, the guy I asked said he was in Switzerland this summer and actually looked into opening an account just for the sake of having one.  The bank said no.  I guess the foreign banks are in even more trouble for shielding tax cheats than the tax cheats are themselves.

[Jack from Ohio]

We are seeing 12 weeks to 6 months depending upon how much the processing agent has to read and understand to process the return.  The experience and skill of those that process amended returns has become pathetic.

[Max W]

Even last year, it was taking 4 to 6 months.

For older years, it can take much longer.

 

We had a 1040X filed for 2003 filed in Aug 2011, IRS indicated it was in process dec 2011.  Processing was finalized and a $40K reduction of balance due was issued in Aug of this year, 33 months later.  We had to get the TAO involved and it still took over a year from that point.

[kcjenkins]

Clearly, there can be no 'standard' time, because there's so much variation in the complexity of the amendment.  Simple 'this ___ form was left off the original return' type for a recent year should be fairly fast.   Older ones usually take longer, ones involving new deductions and/or significant changes may take much longer.