Income Tax Wavier For Amended Taxes

[maxwell18]

Just wondering if anyone heard or knows about any actions on extending the 3 year rule for disabilied veterans being able to file amended returns past the 3 year rule due to the VA taking so long to processing claims and then awarding disibilties past the 3 years already filed?

[Berta]

Thanks Larry- my actual return cost 45 for the tax person to do so I will file this myself-otherwise not worth to pay her again-

it is about $40 on the IRS forms- but if one can prove they took more fed tax out they can claim the whole amount-

[Pete53]

The original question concerned back payment of Social Security which is taxable per a reduced formula.VA Service Connected Disability is non taxable.

[maxwell18]

I know VA compensation is not taxable, that is the whole point, if you do not know about your disabilty rating (because VA screwed up) and you file you taxes and later find out that made a CUE and/or made a decision years later over the 3 year tax law limit for filing you lose everything after the 3 year limit. You can file all day long within the 3 year limit. I had three years that I could not amend my taxes. I hope you understand I don't know any other way to state it.

[free_spirit_etc]

I know my husband filed ammended returns when he got VA back pay. Where this applies is if you are retired -- to get your VA pension -- you have to WAIVE your retirement pay (if it is military) Since he paid taxes on that pay -- and then had to waive his retirement pay dollar for dollar -- he was able to file tax returns to get a refund on the taxes he had paid on his retirement pay.

I am not sure how far back he went.

The concurrent reciept will help a lot with this problem.

Because if my husband had retired from any place EXCEPT the military - he would have been able to keep all his retirement pay PLUS get his $225 a month disability. But since he retired form the military -- he had to give up $225 a month of his retirement pay to get his VA pay.

The only benefit to giving it up is

1. VA pay is tax free

2. Former spouse allotments are granted on military retirement pay - but not VA.

Free

Just wondering if anyone heard or knows about any actions on extending the 3 year rule for disabilied veterans being able to file amended returns past the 3 year rule due to the VA taking so long to processing claims and then awarding disibilties past the 3 years already filed?

[Guest terrysturgis]

My accountant just ammended my returns for three years. The purpose was to recover the Homestead exemption on my state real estate taxes. (Michigan) I got about $350.00 back.

I assume every state has different rules. Ask your accountant. Terry Sturgis