Congrats on finally getting that 846 code! That's such a huge relief after all the waiting with your amended return and refund freeze. From what I've seen in this community, paper checks typically arrive 5-7 business days after the 846 date shows up on your transcript. Since yours is dated 01-07-2025, you should hopefully see it by this Friday or early next week at the latest. The progression from your 811 "refund freeze removed" on 12-21 to the 846 on 01-07 looks perfect - everything is finally moving through the system! And that 776 interest code is awesome - at least you're getting compensated for all the delays you've been through. I'd definitely recommend signing up for USPS Informed Delivery if you haven't already so you can get daily photos of your incoming mail and know exactly when that check is coming to your mailbox. Keep us posted when it arrives! 🤞

That's amazing news about finally getting your 846 code! I totally understand the relief you must be feeling after dealing with an amended return and refund freeze for so long. From what I've seen in this community, paper checks typically take 5-7 business days to arrive after the 846 date appears on your transcript. Since yours is dated 01-07-2025, you should hopefully see it by this Friday or early next week. The sequence of codes you have looks really good - that 811 "refund freeze removed" on 12-21 followed by the 846 on 01-07 shows everything is finally processing properly through the system. And getting interest with that 776 code is a nice bonus after all the waiting you've been through! I'd definitely recommend signing up for USPS Informed Delivery if you haven't already - you'll get an email each morning with photos of your incoming mail so you'll know exactly when that check is on its way to your mailbox. Fingers crossed it arrives soon! 🤞

You might also wanna look into whether u qualify as a real estate professional for tax purposes. If u do, the passive activity loss limitations don't apply to your rental properties, which would make this whole question moot cuz then the losses wouldnt be considered passive in the first place. U need to meet two requirements: 1) more than half ur personal services during the year are in real property trades/businesses, and 2) u perform more than 750 hours of services in real property trades/businesses.

Another consideration for your situation is the timing of when you can use passive losses. If you have suspended passive losses from prior years on the property you're keeping, those can only offset passive income in the current year - they can't offset the depreciation recapture unless you're disposing of that specific property too. However, if you have current year passive losses from your other rental property, those should be able to offset the passive income portion of your gain, including the depreciation recapture. Just make sure you're tracking which losses come from which property, especially if you have suspended losses carried forward from multiple years. Also worth noting - if you're planning any other real estate transactions soon, the timing could affect your overall tax strategy. Sometimes it makes sense to bunch gains and losses in the same year to maximize the offset benefit.

Quick question - I'm using TurboTax and wondering if it can handle Form 3115 for missed depreciation? Their support wasn't clear about it.

I went through this exact same situation with three rental properties I bought between 2020-2022. The stress was overwhelming until I realized how straightforward the fix actually is with Form 3115. A few practical tips that helped me: 1. Calculate your basis correctly - for residential rentals, you can only depreciate the building, not the land. Your purchase contract or property tax assessment should show the land vs building allocation. 2. Remember that depreciation starts when the property is "placed in service" for rental use, not necessarily when you bought it. If you spent time renovating before it was rentable, that affects your start date. 3. The Section 481(a) adjustment on Form 3115 will be substantial (mine was over $35k total), but don't worry - this is exactly what the form is designed for. The IRS expects large catch-up amounts. 4. File Form 3115 with your current year return, not as an amendment to prior years. This is key - it saves you from the hassle and potential issues of multiple amended returns. One last thing - make sure you continue depreciating correctly going forward! The mistake is fixable, but you don't want to repeat it. Good luck!

One thing nobody's mentioned yet - if you give scholarships to individuals you select yourself, even through your own 501(c)(3), you need to be careful about "private benefit" rules with the IRS. You generally need to have an independent selection committee and clear objective criteria for choosing recipients. If you choose recipients who are related to you or who benefit you indirectly, it could disqualify the tax-exempt status. This happened to my cousin who set up a scholarship fund and didn't realize she couldn't award scholarships to her friends' kids. I highly recommend getting specific guidance on the selection process, not just the financial structure. The IRS is particularly picky about this part.

This thread has been incredibly helpful - I'm in a similar situation trying to set up a memorial scholarship for my late father. One additional consideration I haven't seen mentioned is the state tax implications, which can vary significantly from federal rules. In my state (California), I discovered that even if you structure everything properly at the federal level, there may be additional state reporting requirements or different treatment of the funds. Some states have their own gift tax rules or require separate filings for charitable activities. I'd strongly recommend checking with your state's tax agency or a local tax professional who understands your state's specific rules before finalizing your approach. What works perfectly for federal taxes might create unexpected complications at the state level. Also, if you're working with a community foundation or setting up a donor-advised fund, make sure they're familiar with your state's requirements too. I almost got caught off guard by this until my CPA flagged it during our planning session.

One thing nobody's mentioned yet - don't forget about FBAR requirements! Even after you surrender your green card, if you had $10,000+ across all foreign (non-US) accounts at any point during the year you lived in the US, you still need to file the FBAR form. I got hit with a massive penalty for missing this when I moved back to Europe.

This is a really complex situation that involves both US and UK tax law! A few additional points to consider beyond what others have mentioned: First, make sure you understand the timing of your move in relation to tax years. The UK tax year runs April 6 to April 5, while the US follows the calendar year. This can create some interesting split-year situations that affect how you report income in both countries. Second, regarding your W-8BEN form - you'll need to be careful about when you submit it. You can only claim treaty benefits as a UK resident once you've actually established UK tax residency. The distributors will need updated forms, and there might be a transition period where you're still subject to the higher withholding rates. Also worth noting: some music royalties might be classified differently depending on whether they're mechanical royalties, performance royalties, or sync licensing fees. The treaty treatment can vary based on the specific type of royalty income. Finally, consider keeping detailed records of your income sources and any taxes withheld during your transition year. You'll likely need to file partial-year returns in both countries for the year you move, and having clear documentation will make this much easier. The international tax rules for creative professionals are genuinely complicated, so getting professional help from someone experienced with US-UK tax issues is probably your best bet for navigating this correctly.