Q What do you do if you realize you made a mistake on a tax return you already filed?
A “First, don?t panic,” Maryland Society of Accountants member Bob Davies said. “The IRS and Maryland Comptroller?s Office know that mistakes happen for a variety of reasons ? corrected statements, late receipt of information, and human error.”
Davies said the right way to correct amistake is to prepare an amended return, federal form 1040X and Maryland form 502X.
You should file when you discover the error on the original return, “but give the taxing authority time to process the original return before sending an amended return,” he said.
An amended return asks you to show the information on the original return, the changes you are making and what is correct.
It also provides space to explain what you are changing and why, which Davies said may be the most important part.
“A clear and concise explanation is key to helping the taxing authority understand why you are correcting your return,” he said.
