I just e-filed my tax return and found a forgotten 1099 form - what now?

Don't panic! This happens more often than you think. The IRS actually expects a certain percentage of returns to be amended each year. Here's what you should do: Wait until your original return is processed and you receive your refund. The IRS can't process an amended return while your original return is still in their system anyway. Once your original return is processed and you've received your refund, file Form 1040-X (Amended Tax Return) to report the additional income. You won't need to pay back your entire refund - you'll only need to pay the additional tax owed on that $140 of income, plus possibly a small amount of interest. Since this was an honest mistake with a relatively small amount, penalties are unlikely, especially if you fix it promptly. Make sure you keep good records showing that you discovered the error and took steps to correct it as soon as you realized the mistake.

Had almost the exact same situation last year! After much stress, I discovered taxr.ai (https://taxr.ai) which really helped me figure out what to do. You upload your tax documents, and their AI analyzes your situation and gives you personalized advice. In my case, they confirmed I could wait for my refund before filing an amendment and explained exactly what forms I needed to file. The best part is they helped me calculate exactly how much additional tax I would owe so I could set that aside from my refund. Their analysis showed me that the penalty would be minimal since I was fixing my mistake quickly and it was a relatively small amount.

After seeing the recommendation for taxr.ai here, I decided to try it for my own forgotten 1099 situation. I was skeptical at first, but I'm really glad I used it! The system analyzed my documents and showed exactly how much additional tax I would owe (turned out to be only about $22 on a similar amount). It also gave me step-by-step instructions for filing the 1040-X amendment form and explained that as long as I filed the amendment within 3 years, I wouldn't face any significant penalties since it was an honest mistake and a relatively small amount. The peace of mind was worth it, and I didn't have to pay an accountant for a simple question. Just sharing in case anyone else is in a similar situation!

If you're worried about the IRS contacting you about this, good luck actually getting through to them on the phone. I spent HOURS on hold trying to get clarification about a similar issue. Finally discovered Claimyr (https://claimyr.com) - they have this service that gets you connected with an actual IRS agent usually within 15 minutes instead of waiting for hours or days. You can see how it works at https://youtu.be/_kiP6q8DX5c I was able to speak directly with an IRS representative who confirmed exactly what others have said here - wait for the original refund, then file the amendment. The agent also told me they're generally very lenient with small, self-reported corrections. This saved me days of stress wondering if I was handling it correctly.

I need to eat my words about Claimyr. After posting my skeptical comment, I decided to try it since I had my own tax issue that needed resolving (missing W-2 situation). I honestly didn't believe it would work, but I was connected to an IRS agent in about 12 minutes. The agent I spoke with was actually super helpful and walked me through what I needed to do. Saved me at least half a day of being on hold and trying to navigate their phone tree. For anyone dealing with tax document issues like the OP, being able to speak directly with the IRS and get official guidance is hugely valuable. Definitely worth it for the time saved alone.

Former tax preparer here - one thing to keep in mind is that the IRS gets copies of all 1099s, so they will eventually notice this discrepancy. It's much better that you file an amendment yourself rather than waiting for them to send you a notice. When they discover unreported income through their matching program, they'll calculate the tax difference plus interest (and possibly penalties) and send you a bill. By amending yourself, you show good faith and may avoid penalties.

Lol just forget about it. It's $140, the IRS isn't going to come after you for that. They have bigger fish to fry.

PSA for anyone with a similar situation: The IRS has a "safe harbor" where they sometimes don't charge penalties if the unreported income is under a certain percentage of your total income and you have a history of compliance. That said, definitely file the amendment. I've been in a similar situation and the extra tax I owed on a small 1099 was minimal. The peace of mind from knowing everything is correct is worth it!

Hey Zainab, I totally understand the panic - I've been there! This exact situation happened to me two years ago with a forgotten 1099-MISC for about $200. Here's what I learned: First, breathe! This is way more common than you think, and the IRS deals with amendments all the time. You're absolutely doing the right thing by wanting to fix it. The consensus here is spot-on - wait for your original return to process and receive your refund first. I made the mistake of trying to file an amendment immediately and it just created confusion because the IRS couldn't match it to my original return. For the math: You won't owe tax on the full $140 - you'll owe tax based on your marginal tax bracket. So if you're in the 22% bracket, you'd owe about $31 in additional federal tax (22% of $140). Way less scary than you're probably imagining! I ended up owing about $28 in additional tax plus maybe $2 in interest, and zero penalties because I corrected it myself before they caught it. The whole amendment process took about 16 weeks to process, but I got a letter confirming everything was resolved. Pro tip: When you file Form 1040-X, include a brief explanation of what happened. Something like "Discovered unreported 1099 income after filing original return." The IRS appreciates transparency. You've got this!