I think people often confuse tax RESIDENCY rules (for income tax filing purposes) with Social Security/Medicare tax obligations. They're governed by different sections of the tax code! Even some tax preparers get this wrong. I've seen software engineers on EADs mistakenly told they're exempt when they're not. Always check IRS Publication 519 "U.S. Tax Guide for Aliens" - it covers this topic specifically.

Great thread with lots of helpful info! I just wanted to add that if you're unsure about your specific situation, you can also check Box 3 (Social security wages) and Box 5 (Medicare wages) on your most recent pay stub or W-2. If your employer is withholding these taxes, those boxes should show your wages subject to these taxes. Also, once you do get your actual Green Card, nothing changes regarding FICA taxes - you'll continue paying Social Security and Medicare taxes just like you are now with your EAD. The transition is seamless from a payroll tax perspective. One more tip: keep good records of all your Social Security contributions during your EAD period. When you eventually apply for Social Security benefits (whether retirement, disability, etc.), all these contributions will count toward your benefit calculation, regardless of whether they were made before or after you got your Green Card.

Don't forget that for gambling, you have to itemize deductions on Schedule A to claim losses. This means giving up the standard deduction which is $14,600 for single filers in 2025. If your total itemized deductions (including gambling losses, mortgage interest, charitable contributions, etc.) don't exceed your standard deduction, it might not make sense to deduct gambling losses at all.

For your 2024 situation where you didn't report small winnings under $600, you're probably fine since the amounts were minimal and you didn't receive any tax forms. The IRS typically focuses on larger unreported income. For this year with the $20,000 PayPal 1099-K, that's reporting gross payment volume, not taxable income. You'll need to separate your actual gambling winnings from deposits/withdrawals. Since you're only up $135 on FanDuel and didn't get a 1099 from Prizepicks, your actual taxable gambling income is likely very small. The key is keeping good records going forward. Download transaction histories from both platforms showing all bets placed and winnings received. Your tax professional should be able to help you properly report the actual winnings as income while ensuring you don't overpay based on the inflated 1099-K amount. Most importantly, don't panic - this is a common situation with payment processors issuing 1099-Ks for gross transactions rather than net gambling profits.

Great question about CPA firm exemptions! Yes, your CPA firm is likely correct that they're exempt from 1099 reporting if they're incorporated as a corporation. This is one of the most common exemptions business owners encounter. Here's what you should do to stay compliant: Even though they're exempt, you should still request and keep a completed W-9 form from them. This serves as your documentation that they claimed exemption status, which protects you if the IRS ever questions why you didn't issue a 1099 to a vendor you paid over $600. The W-9 will show their business structure and tax classification. If they're a corporation (C-corp or S-corp), they'll be exempt from 1099-NEC reporting for services. The main exceptions where corporations DO need 1099s are payments to medical corporations, attorneys/law firms, and a few other specific categories. For future reference, always collect W-9s from all vendors regardless of whether you think they need a 1099. It's much easier to have the paperwork upfront than to chase it down later during tax season. This way, you'll have proper documentation of everyone's status and can easily determine who needs what forms.

This is such a common confusion for small business owners! Your CPA firm is absolutely correct - if they're incorporated as a corporation, they are exempt from 1099 reporting requirements. This applies to both C-corps and S-corps. However, I strongly recommend still getting that W-9 from them. Even though they told you they're exempt, having their completed W-9 on file serves as your official documentation of their exempt status. This protects you if the IRS ever questions why you didn't issue a 1099 to a vendor you paid over $600. The key thing to remember is that while most corporations are exempt from 1099 reporting, there are important exceptions. You still need to issue 1099s to corporations that are: - Medical/healthcare providers - Attorneys and law firms - Certain other specific categories Since accounting services don't fall into these exception categories, your CPA firm would indeed be exempt if they're incorporated. Going forward, I'd suggest collecting W-9s from all service providers regardless of their status. It's much easier to gather this paperwork upfront than to scramble for it during tax season, and it ensures you have proper documentation for everyone's tax classification.

I went through a very similar MPF withdrawal situation when I moved from Hong Kong to the US in 2022. A few important points based on my experience: First, you're correct that the timing of receipt (January 2024) determines the tax year - this will be reported on your 2024 return. The IRS will treat this as ordinary income, not capital gains, since MPF isn't recognized as a qualified US retirement plan. However, there's a key distinction many people miss: the portion of your MPF that came from your mandatory employee contributions (which were made with after-tax Hong Kong dollars) may be eligible for tax-free treatment in the US, since you already paid tax on that income in Hong Kong. Only the employer contributions and any investment growth would be fully taxable. To take advantage of this, you'll need detailed documentation from your MPF provider showing the breakdown between employee contributions, employer contributions, and earnings. Request this specifically - most providers can generate this statement but you may need to ask for it by name. For reporting, you'll likely use the pension/annuity section of Form 1040 and potentially Form 8606 to establish your tax basis (the amount of after-tax contributions). This can result in significant tax savings if you had substantial employee contributions over the years. One other consideration - since you received the funds in 2024 after becoming a US tax resident, make sure you understand your 2023 tax residency status as well. Depending on when exactly you became a US tax resident in December 2023, there might be additional reporting requirements for that year. I'd strongly recommend getting professional help from someone experienced with international tax situations for your first year - the potential tax savings from properly categorizing your MPF withdrawal can easily offset the professional fees.

Based on my experience helping clients with similar Hong Kong MPF situations, I'd recommend focusing on three key areas for your 2024 tax filing: **Documentation is crucial** - Request a detailed breakdown from your MPF provider showing: (1) your mandatory employee contributions, (2) employer contributions, and (3) investment earnings. This typically takes 2-3 weeks to receive from Hong Kong providers, so request it soon. **Tax treatment breakdown** - The employee contribution portion that was subject to Hong Kong salaries tax can potentially be received tax-free in the US since you already paid tax on that income. However, employer contributions and all investment growth will be taxable as ordinary income in 2024. **Form considerations** - You'll likely report this on the pension/annuity lines of Form 1040. If you have a significant tax basis from employee contributions, Form 8606 may be needed to establish the non-taxable portion. This form is only filed for the distribution year, not ongoing. **Professional advice strongly recommended** - The interaction between Hong Kong tax law, US tax residency timing, potential FBAR requirements, and proper characterization of the different MPF components creates enough complexity that professional guidance typically pays for itself through proper tax treatment. Since you became a US tax resident in December 2023, also verify whether any 2023 reporting obligations apply to your MPF account before it was distributed. The key is getting the documentation right upfront - many people miss significant tax savings by not properly establishing their basis in the employee contribution portion.

Filed mine on Feb 3rd from Provo and just got my deposit this morning! So there's hope - seems like they're working through the backlog. The wait is brutal but hang in there everyone 🙏

Filed mine Jan 31st from Ogden area and still waiting too. It's so frustrating especially when you're counting on that money! I've been checking the Utah tax website daily but it just keeps saying "being processed." At least hearing that others are starting to get theirs gives me some hope. Hopefully we'll all see movement soon!