Amending married Separate returns

[jmabc]

I have a client who filed her own returns...badly. She filed herself MFS with just a w-2 and claimed her kids. She filed husband MFS with his schedule C that is so far off it has to trigger an audit. It is showing a $10,000 loss, probably should be about a $20,000 profit.

My best idea is to combine them first into 1 MFJ return, using the faulty numbers but at least matching what the IRS has on file. Shortly after, amend again, this time making the proper corrections throughout.

Am I making this more difficult than necessary? I'm just not convinced I can explain the changes well enough if I try and clean the entire thing up on ne 1040X.

Thanks

[Lion EA]

I'd amend whichever is to be the primary, let's say husband for talking purposes. Use husband's original numbers. Then make all the changes to correct the returns, filing status, revising his Sch C, adding wife's numbers, etc. I'd use broad explanations: combining two self-prepared MFS returns into MFJ, correcting Sch C, etc.

Since it was self-prepared and not in your system, I'd prepare the MFJ return the way it should be, then call up the 1040X and use the husband's original information with your preparation as the amended information.

[OldJack]

I would make sure that both taxpayers understand the possible problems of filing a joint return before doing so. There was a reason they did not want to file joint in the first place.

[michaelmars]

I would make sure that both taxpayers understand the possible problems of filing a joint return before doing so. There was a reason they did not want to file joint in the first place.

Correct, if made joint then the wife is on the hook for her husbands unpaid taxes, penalties, etc. I believe the 1040x instructions layout how to make this sort of amendment [from mfs to joint]