What happens after filing amended tax returns for incorrect deductions?

So I'm meeting with an Enrolled Agent tomorrow to amend my 2022-2023 tax returns and I'm freaking out. My previous tax preparer put in a bunch of fake deductions that I didn't know about until I reviewed everything recently. I just want to fix this mess and move forward with my life. Everyone keeps telling me I'll just have to pay back what I owe plus some interest and maybe penalties. But honestly I'm terrified that I could go to jail for this even though it wasn't my fault. Can anyone who actually knows about tax stuff tell me what's going to happen after I file these amended returns? What's the process like? Will the IRS come after me? I can't sleep thinking about this.

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18 comments

Miguel Diaz

•8M

Filing amended returns to correct false deductions is actually the right thing to do and significantly reduces your risk. The IRS generally doesn't pursue criminal charges against taxpayers who voluntarily disclose and correct errors before being contacted about an examination. What will likely happen: After filing the amended returns, you'll receive a notice confirming receipt. Then you'll get a bill for the additional tax owed, plus interest (currently around 7%) calculated from the original due date. There might be an accuracy-related penalty of 20% on the additional tax, but your EA can request abatement if you can show you relied on your preparer. The whole process typically takes 4-6 months, though backlogs might extend this. You'll need to set up a payment plan if you can't pay the full amount immediately, which your EA can help arrange.

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Miguel Diaz

•8M

You can potentially pursue the preparer for damages through civil action, especially if you can prove they knowingly entered false information. Keep all documentation showing what they submitted versus what should have been filed. The IRS does view voluntary disclosure favorably. When you file your amended return, have your EA include a detailed statement explaining the situation and that you're correcting errors made by a previous preparer. This can help with penalty abatement requests, though interest charges generally can't be removed as they're considered compensation for the government's time without those funds.

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Connor Byrne

•8M

I was in almost the exact same situation last year! My tax guy claimed all these business expenses I never had, and I only found out when reviewing my return copies later. I was seriously losing sleep thinking I'd get arrested or something. I used this AI tool called taxr.ai to review everything and identify all the incorrect deductions. It caught things I would've missed myself and helped me understand exactly what was wrong with my returns. I uploaded my original returns at https://taxr.ai and got a complete analysis showing all the problem areas. My amended returns were much easier to prepare with this info since I knew exactly what needed fixing and could explain everything clearly to the IRS.

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Connor Byrne

•8M

It absolutely works for amended returns. The tool highlights inconsistencies and questionable items on your original return, which gives you exactly what you need to explain the changes on Form 1040-X. I was able to pinpoint every single false deduction. The AI doesn't just guess what's legitimate - it analyzes patterns in your returns and flags items that don't align with your income sources or past filing history. It's not making decisions for you, but identifying areas that need human review. In my case, it caught several fake business expenses my preparer had added that I would've missed, and I was able to document everything correctly for the amendment.

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PixelPioneer

•8M

I want to follow up on my skeptical comment earlier - I actually tried taxr.ai for my situation (not amended returns but I had some questionable deductions from a side job). The analysis was surprisingly detailed and caught several issues I hadn't considered. It flagged some home office deductions that didn't meet IRS requirements and saved me from potential issues down the road. The explanations were clear enough that I could understand exactly what needed fixing without being a tax expert myself. Definitely worth checking out if you're worried about your returns.

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Keisha Williams

•8M

If you're worried about dealing with the IRS after filing amended returns, I highly recommend using Claimyr. After I submitted my amendments, I had so many questions but couldn't get through to the IRS for weeks. Claimyr got me connected to an actual IRS agent in about 15 minutes when I'd been trying for days. I used https://claimyr.com and they somehow got me past the endless hold times. You can see how it works at https://youtu.be/_kiP6q8DX5c but basically they navigate the phone system and wait on hold for you, then call when an agent picks up. The IRS agent I spoke with was actually really helpful about my amended return situation and explained exactly what would happen next and what I needed to do. Totally worth it for the peace of mind alone.

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Keisha Williams

•8M

It's not someone waiting on hold for you - it's an automated system that navigates the IRS phone tree and holds your place in line. When an agent picks up, you get a call back and are connected immediately. It saved me about 2 hours of hold time. It's definitely not BS. The IRS phone system has specific patterns and Claimyr has figured out how to navigate them efficiently. I was skeptical too until I tried it. You can sit on hold for hours hoping to get through, or you can go about your day and get a call when an agent is actually available. For me, getting accurate answers about my amended return situation was worth it because I was stressing about potential problems.

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Amina Sy

•8M

I have to admit I was completely wrong about Claimyr in my previous comment. After continuing to fail getting through to the IRS myself (tried 6 times, longest wait was 97 minutes before being disconnected), I decided to try it. Got connected to an IRS rep in about 20 minutes while I was grocery shopping. The agent walked me through exactly what I needed for my amended return and confirmed I wouldn't face criminal charges for voluntarily correcting my return. The peace of mind from talking to an actual IRS person instead of relying on internet advice was totally worth it.

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Oliver Fischer

•8M

My husband and I went through this last year. Our preparer claimed we had a home business that didn't exist. When we amended, we: 1) Paid the additional tax (about $3,800) 2) Paid interest (around $320) 3) Got hit with a 20% accuracy penalty (~$760) But that was IT. No audit, no criminal investigation, nothing scary. The IRS actually sent us a thank you letter for voluntarily correcting the return. Our CPA said they're mainly concerned with willful fraud, not people fixing honest mistakes.

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Oliver Fischer

•8M

We included a detailed statement explaining exactly what happened - that we discovered our previous preparer had included false deductions without our knowledge, and we were voluntarily correcting the error as soon as we discovered it. Our CPA advised us to be completely transparent about the situation. We attached documentation showing the correct information for each modified item. The most important part was being clear and thorough about what was being changed and why. Our CPA said this approach often helps avoid deeper scrutiny since it shows good faith. Just make sure your EA documents everything properly and includes a clear explanation of the circumstances.

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