Amending Income Tax Returns

Janet MosebachGeorge Mutter

Department of AccountingCollege of Business and Innovation

March 23, 2012

Amending Income Tax ReturnsDISCLAIMER: This presentation is being provided for UT employees affected by the recent 2011 Form W-2 corrections and is meant to provide general information about whether amended income tax returns need to be prepared and how to prepare them. It is being conducted by faculty members from the UT Department of Accounting. These faculty members have tax experience but they are not paid tax preparers. Specific questions about your particular tax situation should be referred to your tax adviser.

Amending Income Tax ReturnsFive recent 2011 Form W-2 corrections

1. Health Savings Accounts (HSA)2. Dental Benefits (Health Science Campus

employees only)3. Medical Residents4. Relocation Expenses (moving reimbursements)

5. Group Life Insurance Imputed Income

Amending Income Tax Returns• If you are not affected by one or more of these five

corrections, you do not need to do anything.• If you are affected by one or more of these five

corrections but have not already filed your 2011 income tax returns, you do not need to do anything except use the new, reissued Form W-2 provided to you during the past two weeks instead of the one provided to you at the end of January 2012 when preparing your tax returns.

• If you are affected by one or more of these five corrections and have already filed your 2011 income tax returns, you may need or choose to amend some or all of those returns to reflect the corrected information.

Correction 1: Health Savings Accounts • Form W-2: Box 12 (Code W)• Original W-2

• Only included contributions made by UT • Did not include pre-tax employee contributions

• Reissued W-2• Now includes contributions made by UT and employee

• Impact• Federal: No change; informational change only• State: No change• Local: No change

Correction 1: Health Savings Accounts Original W-2 Reissued W-2

Correction 2: Dental Benefits (HSC only) • Form W-2: Box 16• Original W-2

• State wage amount was too high• Reissued W-2

• State wage amount has been decreased to correct amount• Impact

• Federal: No change• State: No change• Local: No change

Correction 2: Dental Benefits (HSC only) Original W-2 Reissued W-2

Correction 3: Medical Residents • Form W-2: Box 1• Original W-2

• Federal taxable wage amount did not include all wages• Reissued W-2

• Federal taxable wage amount has been increased to correct amount

• Impact• Federal: Tax liability will increase; file Form 1040X and pay

tax due• State: Same as Federal; file Form Ohio IT 1040X to amend• Local: No change; local wage amount was correct

Correction 3: Medical Residents Original W-2 Reissued W-2

NOTE: Any decrease in state wages is due to Dental Benefits issue.

Correction 4: Relocation Expenses • Form W-2: Boxes 5, 12 (Code P), and 18• Original W-2

• Medicare & Local wage amounts were too high• Reissued W-2

• Medicare & Local wage amounts have been decreased to correct amount

• Impact• Federal: No change; taxable wage amount was correct• State: No change; state wage amount was correct • Local: Tax liability will decrease; file Toledo Income Tax

Return to amend and claim refund

Correction 4: Relocation Expenses Original W-2 Reissued W-2

Correction 5: Group Life Insurance • Form W-2: Boxes 1, 5, 12 (Code C), 16, and 18• Original W-2

• Federal, state, and local wage amounts were incorrect• Some were too high and some were too low

• Reissued W-2• All wage amounts have been corrected

• Impact• Federal: Tax liability will increase if wages were too low or

decrease if wages were too high; file Form 1040X to amend and pay tax or claim refund as necessary

• State: Same as Federal; file Form Ohio IT 1040X to amend• Local: Same as Federal; file Toledo Income Tax Return to

amend

Correction 5: Group Life Insurance Original W-2 Reissued W-2

Form 1040X (bottom of page 2)

Amending for W-2 changes.

Where to file Federal Form 1040X

Life

Insu

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xam

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Mail to: Ohio Department of Taxation, P.O. Box 1460, Columbus, OH 43216-1460. Phone: 1-800-282-1780

Form MI-1040X (bottom of page 2)

Amending for W-2 changes.

Where to find blank amended income tax return forms

Federal Form 1040X (separate link for instructions)

http://www.irs.gov/pub/irs-pdf/f1040x.pdf

http://www.irs.gov/pub/irs-pdf/i1040x.pdf

Ohio Form IT 1040X (includes instructions)

http://tax.ohio.gov/documents/forms/ohio_individual/individual/2011/PIT_1040X.pdf

Michigan Form MI-1040X (includes instructions)

http://www.michigan.gov/documents/taxes/MI-1040X_372133_7.pdf

Toledo Income Tax Form (includes instructions)

http://www.toledo.oh.gov/LinkClick.aspx?fileticket=E_7G_Xo_goY%3d&tabid=214&mid=994