Sorry you're dealing with this mess! I went through something similar with my Emerald Card last year. The "fraud detection" freeze is usually triggered by their automated systems, not necessarily because you did anything wrong. Here's what worked for me: 1) Keep calling that fraud line Ethan mentioned - be persistent and ask for a supervisor if needed 2) Request they email you confirmation of when the check was actually mailed and the tracking number 3) If it's been over 10 business days since they claim it was mailed, demand they cancel the check and reissue payment via direct deposit to your own bank account. Don't let them keep you in limbo - you have rights here!

Had the exact same issue with my Emerald Card two years ago! The "fraud detection" freeze happened right after I got approved for the advance too. What finally worked for me was filing a complaint with the CFPB (Consumer Financial Protection Bureau) online - within 48 hours of submitting it, H&R Block called me directly and expedited everything. Got my refund check within a week after that. Sometimes you need to escalate beyond their customer service to get real action. The CFPB complaint is free and it puts pressure on them to actually resolve your case instead of giving you the runaround.

Don't forget that as a sole proprietor you can deduct half of your self-employment tax on your 1040! It's an adjustment to income so you get it even if you don't itemize deductions. A lot of people miss this one.

As someone who went through this exact same situation last year (RN with a photography side business), I totally get the confusion! Here's what I learned the hard way: The key is understanding that your W2 withholding might already be covering more than you think. Don't just look at raw percentages - you need to consider your effective tax rate across both income streams. One thing that helped me was doing a "tax projection" using Form 1040ES worksheets instead of relying on online calculators. Take your expected total income from both sources, subtract your standard deduction, and calculate the tax on that amount. Then subtract what's already been withheld from your nursing paychecks to see what you actually still owe. Also, make sure you're maximizing business deductions! As a personal trainer, you can likely deduct equipment, continuing education, professional liability insurance, mileage to clients, and even a portion of your phone bill if you use it for business. These deductions can significantly reduce your taxable business income. The 35% you're setting aside is probably conservative, which is good! Better to overpay and get a refund than underpay and face penalties. But you might find you need less once you factor in all legitimate deductions.

I'm in exactly the same situation! Filed my 2023 return three weeks ago and it's been stuck on "Return Received" ever since. The waiting is driving me crazy, especially when you need that refund money. From what I've researched, the IRS is really backed up this year. A lot of people are experiencing longer processing times than the usual 21 days they advertise. I've been trying to stay patient but it's hard when you see the same status message day after day. One thing that's helped my anxiety a bit is remembering that "Return Received" means they actually have it in their system and it's not lost somewhere. I know it doesn't feel like progress, but at least we're in the queue. Has anyone here actually had success getting useful information from calling the IRS line? I'm debating whether it's worth the hours on hold just to hear "your return is being processed" which is what the website already tells us.

Same exact situation here! Filed my 2023 return on January 28th and it's been stuck on "Return Received" for over two weeks now. The daily checking is becoming obsessive but I can't help myself 😅 What's really getting to me is that friends who filed after me have already gotten their refunds approved. Makes you wonder if there's something specific triggering the delays this year. I've triple-checked my return and everything looks correct. I did try calling that 1-800-829-1040 number last week but gave up after being on hold for 3 hours. Might try the early morning strategy someone mentioned. The uncertainty is the worst part - at least if they gave us a rough timeline we could plan accordingly. Thanks for posting this, it's oddly comforting to know so many of us are in the same boat right now!

Reading through all these responses, I wanted to add one more practical consideration that hasn't been mentioned yet - the timing of when you make the loan can affect the AFR rate you need to use. The Applicable Federal Rate changes monthly, and you're locked into whatever rate is in effect when you actually make the loan. Since AFR rates have been fluctuating, it might be worth checking the current month's rate versus next month's before you transfer the money, especially if you're considering charging a minimal interest rate as some folks suggested. You can find the current AFR rates on the IRS website under "Applicable Federal Rates (AFR) Rulings." For short-term loans (3 years or less), you'd use the short-term AFR rate. Also, one thing that helped me when I did a family loan was setting up a separate savings account just for tracking the loan payments. It makes record-keeping much cleaner come tax time, and if you do end up with imputed interest to report, having that clear paper trail makes everything easier for your accountant. The advice about the $100k threshold and personal use exception seems spot-on for your situation. Given that your brother-in-law is dealing with divorce expenses, this should clearly qualify as personal use rather than investment, which could save you from most of the imputed interest headaches.

This has been such a helpful thread! I'm dealing with a similar family loan situation and had no idea about all these nuances with AFR rates and imputed interest. One question I haven't seen addressed - what happens if the family member can't make payments on schedule? I know someone mentioned building in flexibility, but from a tax perspective, does it create issues if the loan payments get delayed or if you end up forgiving part of the debt later? I'm wondering if there are specific ways to handle payment deferrals or modifications that don't trigger additional tax complications. Like, if you originally set up the loan properly but then need to adjust the terms due to continued financial hardship, does that require new documentation or create new gift tax implications? Also, has anyone dealt with a situation where the family loan ended up being partially forgiven? I'm trying to understand what that would mean tax-wise for both the lender and borrower. Really appreciate everyone sharing their experiences - this is exactly the kind of real-world guidance that's impossible to find just reading IRS publications!

Has anyone actually read the full Glenshaw Glass opinion? I just did and I'm not sure it's as clear-cut as some are making it out to be. The case was really about whether money from punitive damages counted as income, not about unrealized gains specifically. The phrase everyone quotes about "clearly realized" gains was part of a broader definition and might not be the constitutional barrier everyone thinks it is. I'm not saying unrealized gains taxes ARE constitutional - just that this particular case might not be the slam-dunk argument against them that people claim.

Great point about Eisner v. Macomber! That 1920 case is actually more directly on point than Glenshaw Glass for this issue. The Court ruled that a stock dividend wasn't taxable income because it was just a paper increase in value without any actual receipt of money or property that could be "severed" from the capital. The Court specifically said that income requires "the gain derived from capital, from labor, or from both combined" that has been "received or drawn by the recipient" for their separate use. Just holding an appreciated asset doesn't meet this test because you can't actually use that gain - it's still tied up in the original investment. This is why I think any unrealized gains tax would face serious constitutional challenges. The Supreme Court has been pretty consistent over the past century that you need some kind of actual receipt or realization event before something becomes taxable income under the 16th Amendment.