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Prior Year Amendment Case Studies

Our team has completed 103 amendment recovery studies for clients across the country, recovering millions in overpaid taxes from prior filing years. These case studies highlight strategies ranging from missed depreciation and overlooked deductions to retroactive entity elections and passive loss corrections. Each study represents a real recovery achieved through careful analysis of previously filed returns.

103 Studies Completed
$8.4M Total Recovered
$81K Average Per Client

Featured Amendment Recoveries

25 highlighted case studies demonstrating the range and depth of our amendment recovery work.

Depreciation Recovery

3-Year Lookback Recovery for Rental Portfolio

A real estate investor with 12 rental properties had never taken bonus depreciation on qualifying improvements. Our team filed Form 3115 to recover three years of missed accelerated depreciation across the full portfolio.

$387,000 Recovery Amount
3 Years Tax Years Covered
Form 3115 Catch-Up Depreciation Bonus Depreciation Lookback Study
Missed Deductions

Missed Depreciation Recovery for Medical Office

A physician who purchased a medical office building in 2019 never claimed cost segregation or component depreciation. Amended returns captured accelerated write-offs on building systems, site improvements, and specialty medical fixtures.

$214,000 Recovery Amount
3 Years Tax Years Covered
Form 1040-X Cost Segregation Missed Depreciation
Entity Election

S-Corp to C-Corp Retroactive Election

A technology company operating as an S-Corp was overpaying by not utilizing the 21% flat corporate rate on retained earnings. Our team filed a retroactive entity election and amended two years of returns to capture the rate differential.

$156,000 Recovery Amount
2 Years Tax Years Covered
Retroactive Election Entity Restructuring Amended Returns C-Corp Conversion
REPS Status

Real Estate Professional Status Reclassification

A client who qualified as a Real Estate Professional had been filing without the REPS designation for two years. Amending returns allowed rental losses to offset W-2 income, producing significant refunds for both years.

$118,000 Recovery Amount
2 Years Tax Years Covered
REPS Election Passive Loss Unlock Form 1040-X
Passive Loss Correction

Suspended Passive Losses Unlocked for Investor

A high-income investor had $340,000 in suspended passive losses that were never properly released upon property disposition. Our team filed amended returns to apply those losses against capital gains in the year of sale.

$97,000 Recovery Amount
1 Year Tax Years Covered
IRC 469 Analysis Passive Loss Release Disposition Rules
Home Office Recovery

Home Office Deduction Recovery for Consultant

A self-employed management consultant had never claimed the home office deduction despite maintaining a dedicated office. Amended returns captured three years of home office expenses including a portion of mortgage interest, utilities, and insurance.

$28,000 Recovery Amount
3 Years Tax Years Covered
Home Office Deduction Form 8829 Amended Returns
Vehicle Deduction

Vehicle Depreciation and Mileage Recovery

A real estate agent with three vehicles used exclusively for business had been claiming the standard mileage rate when actual expenses would have produced a larger deduction. We amended two years and switched to the actual expense method with bonus depreciation.

$42,000 Recovery Amount
2 Years Tax Years Covered
Actual Expense Method Vehicle Depreciation Form 1040-X Bonus Depreciation
Retirement Contribution

Missed SEP-IRA Contributions for S-Corp Owner

An S-Corp owner had not been making SEP-IRA contributions despite having significant W-2 income from the business. We established a retroactive contribution plan, funding the maximum for two prior tax years and filing amended returns.

$53,000 Recovery Amount
2 Years Tax Years Covered
SEP-IRA Retroactive Contributions Amended Returns
QBI Recalculation

QBI Deduction Recalculation for Multi-Entity Owner

A business owner with three pass-through entities had the Section 199A deduction calculated incorrectly, missing the aggregation election. Amended returns with proper aggregation increased the QBI deduction substantially across all entities.

$67,000 Recovery Amount
2 Years Tax Years Covered
Section 199A QBI Aggregation Form 1040-X Pass-Through
Section 199A

Section 199A Safe Harbor for Short-Term Rentals

An STR portfolio owner was not claiming the QBI deduction on rental income because the prior preparer treated it as a passive investment. We applied the Rev. Proc. 2019-38 safe harbor and amended two years of returns to capture the 20% deduction.

$84,000 Recovery Amount
2 Years Tax Years Covered
Rev. Proc. 2019-38 QBI Safe Harbor STR Classification
Depreciation Recovery

Cost Segregation Lookback for Warehouse

A warehouse owner placed the property in service in 2018 but never performed a cost segregation study. Our team completed a retroactive study and filed Form 3115 to claim the full catch-up depreciation adjustment in a single year.

$298,000 Recovery Amount
1 Year Tax Years Covered
Form 3115 Cost Segregation Change in Accounting Method
Missed Deductions

Unreimbursed Business Expenses for Law Firm Partner

A law firm partner had significant unreimbursed business expenses including professional development, client entertainment, and travel that were never deducted. We amended returns for two prior years, applying the proper Schedule C treatment.

$38,000 Recovery Amount
2 Years Tax Years Covered
Schedule C Business Expenses Form 1040-X
Entity Election

Late S-Corp Election for LLC Owner

An LLC owner earning over $400,000 annually had been filing as a sole proprietor and paying full self-employment tax. We filed a late S-Corp election using Rev. Proc. 2013-30 and amended prior returns to capture the SE tax savings.

$72,000 Recovery Amount
2 Years Tax Years Covered
Rev. Proc. 2013-30 Late S-Corp Election SE Tax Reduction Form 2553
REPS Status

REPS Qualification for Hotel Operator

A hotel operator who spent over 1,200 hours annually managing the property had never elected Real Estate Professional Status. We documented qualifying hours and filed amended returns to unlock substantial rental losses against active income.

$193,000 Recovery Amount
3 Years Tax Years Covered
REPS Documentation Hour Logs Passive to Active
Passive Loss Correction

Incorrect Basis Calculation on Partnership Interest

A limited partner's tax basis was calculated incorrectly, causing losses to be suspended unnecessarily. After reconstructing the correct basis including debt allocations, we released $180,000 in suspended losses through amended filings.

$61,000 Recovery Amount
2 Years Tax Years Covered
Basis Reconstruction Debt Allocations Suspended Losses K-1 Review
Depreciation Recovery

Land Improvement Reclassification for Auto Dealer

An auto dealership had been depreciating site improvements, parking lots, and landscaping over 39 years instead of the correct 15-year MACRS life. We filed a change in accounting method to capture the cumulative catch-up adjustment.

$245,000 Recovery Amount
1 Year Tax Years Covered
Form 3115 15-Year MACRS Land Improvements Change in Accounting Method
Home Office Recovery

Dedicated Studio Recovery for Content Creator

A full-time content creator operating from a dedicated home studio had never claimed the home office deduction or depreciated studio equipment. We amended three prior years, capturing both the office deduction and Section 179 on equipment purchases.

$46,000 Recovery Amount
3 Years Tax Years Covered
Home Office Section 179 Equipment Depreciation
Vehicle Deduction

Fleet Vehicle Bonus Depreciation for Contractor

A general contractor with six qualifying heavy vehicles (over 6,000 lbs GVWR) had been depreciating them over five years without claiming bonus depreciation. We filed amended returns to apply 100% first-year bonus on all qualifying vehicles.

$128,000 Recovery Amount
2 Years Tax Years Covered
Section 168(k) Heavy Vehicle Bonus Depreciation Form 4562
QBI Recalculation

SSTB Reclassification for Engineering Firm

An engineering firm was incorrectly classified as a Specified Service Trade or Business, which limited the QBI deduction above income thresholds. After reclassifying the firm as a non-SSTB, we amended returns to capture the full 20% QBI deduction.

$91,000 Recovery Amount
2 Years Tax Years Covered
SSTB Analysis Section 199A QBI Deduction
Retirement Contribution

Solo 401(k) Establishment and Backdating for Dentist

A sole practitioner dentist had no retirement plan in place despite earning over $500,000 annually. We established a Solo 401(k) with retroactive contributions for one prior year, maximizing both the employee and employer contribution limits.

$35,000 Recovery Amount
1 Year Tax Years Covered
Solo 401(k) Retroactive Plan Amended Returns
Missed Deductions

Research and Development Credit Recovery

A software company with significant R&D activities had never claimed the Section 41 research credit. Our team documented qualifying activities, calculated the credit for three prior years, and filed amended corporate returns to claim the refunds.

$400,000 Recovery Amount
3 Years Tax Years Covered
Section 41 Credit R&D Documentation Form 6765 Amended Corporate Return
Section 199A

UBIA Adjustment for Commercial Property Owner

A commercial property owner's prior preparer did not include the unadjusted basis immediately after acquisition (UBIA) of qualified property in the QBI calculation. This caused the W-2 wage and UBIA limitation to reduce the deduction unnecessarily.

$55,000 Recovery Amount
2 Years Tax Years Covered
UBIA Calculation Section 199A W-2 Limitation
Entity Election

Check-the-Box Election for Multi-Member LLC

A multi-member LLC defaulting to partnership taxation was better suited for S-Corp treatment. We filed a retroactive check-the-box election using reasonable cause relief and amended returns to capture the self-employment tax savings.

$63,000 Recovery Amount
2 Years Tax Years Covered
Form 8832 Check-the-Box Reasonable Cause SE Tax Savings
Depreciation Recovery

Tenant Improvement Depreciation for Restaurant Owner

A restaurant owner who invested $480,000 in tenant improvements had been depreciating them over 39 years. Under the qualified improvement property rules, we reclassified to 15-year property with bonus depreciation and filed for the full catch-up.

$173,000 Recovery Amount
1 Year Tax Years Covered
QIP Reclassification Form 3115 Bonus Depreciation Tenant Improvements
Passive Loss Correction

Material Participation Reclassification for Syndicator

A real estate syndicator who met material participation requirements through the 500-hour test had rental income and losses treated as passive. We documented participation hours, amended two years of returns, and released the losses against non-passive income.

$145,000 Recovery Amount
2 Years Tax Years Covered
Material Participation 500-Hour Test IRC 469 Form 1040-X

Think You Have Missed Deductions?

Most taxpayers overpay because prior returns were filed without a comprehensive review. Our team specializes in identifying and recovering missed deductions, overlooked depreciation, incorrect entity elections, and more. Schedule a free consultation to find out how much you may be owed.

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