Just wanted to share my experience since I worked through this exact issue. After much research, I learned that when filing my 2024 return with a dealer-transferred Clean Vehicle Credit, I needed to: 1. Complete Form 8936 Part IV fully, including Line 13b with the $4,000 amount 2. On Schedule 3, manually override the software to show $0 for this credit 3. Attach a statement with this exact wording: "Taxpayer qualified for Clean Vehicle Credit as shown on Form 8936. Per IRC Section 6418, credit was transferred to dealer at time of purchase on [DATE] as documented by attached dealer certification. Credit amount of $4,000 was already received as reduction in vehicle purchase price and is not being claimed again on this return." I also included copies of my dealer certification and IRS acknowledgment letter with my return. Filed this way in February and received my refund without any issues or follow-up questions from the IRS.

Thank you all for sharing your experiences with this Form 8936 dealer transfer issue! As someone who's been following this thread closely, I wanted to add a few additional points that might help others: 1. **Documentation is key** - Make sure you keep copies of ALL paperwork from the dealer transfer, including the dealer certification form, your purchase agreement showing the credit applied, and any IRS acknowledgment letters. These will be crucial if you're ever audited. 2. **Software limitations** - Many tax preparation software packages haven't been updated to handle dealer transfers properly yet. If your software doesn't allow you to override the Schedule 3 amount or add explanatory statements, you may need to file manually or switch to a different program. 3. **State tax considerations** - Don't forget to check if your state has any additional reporting requirements for transferred federal credits. Some states require you to report these even if you're not claiming them again. 4. **Timing matters** - The IRS is still processing these new dealer transfer procedures, so be patient if your return takes longer than usual to process. The good news is that based on everyone's experiences here, they seem to be accepting properly documented returns without issues. The consensus seems clear: complete Form 8936 to show eligibility, don't double-claim on Schedule 3, and attach a detailed explanation. Thanks especially to @Ethan Wilson for that specific statement wording - that's exactly what many of us needed!

Don't forget to check if your state has additional tax breaks beyond the federal ones! I live in Oregon and we have additional credits and deductions at the state level that saved me about $350 last year. Most tax software covers this but sometimes they miss state-specific breaks.

As someone who recently went through this same confusion, I'd recommend starting with the basics that will likely apply to your situation. Since you're taking community college classes, definitely look into the American Opportunity Tax Credit or Lifetime Learning Credit - these can be worth up to $2,500 and $2,000 respectively and are actual credits (not just deductions). Also check if you paid any student loan interest during the year - you can deduct up to $2,500 of that even if you don't itemize. And if you moved for work or had any unreimbursed work expenses (like uniforms, tools, etc.), those might be deductible too. TurboTax will catch the obvious ones if you answer the questions correctly, but it's worth double-checking because sometimes the questions are confusing or you might not realize something qualifies. The IRS website has some good worksheets and tools to help you figure out what applies to your specific situation.

I'm currently dealing with a Form 1045 situation myself and this thread has been incredibly helpful. Filed mine in August 2024 after a major business loss, so I'm about 5 months in now. Based on what I'm reading here, it sounds like I should expect at least another month or two before seeing any movement. The frustrating part is the complete lack of communication from the IRS - you just have to sit and wait with no updates. One question for those who've been through this: did any of you receive any kind of acknowledgment letter or notice that your Form 1045 was received and being processed? I sent mine certified mail but never got anything back confirming they actually have it in their system. Also curious if anyone tried checking the "Where's My Refund" tool online - does that even work for 1045 applications or is it only for regular tax returns?

I'm about 7 months into waiting for my Form 1045 processing after filing in September 2024. Reading through everyone's experiences here is both reassuring and frustrating - at least I know I'm not alone in this endless waiting game. One thing I learned the hard way is to make absolutely sure you include every single supporting document when you file. I initially forgot to include one of my K-1 schedules from a partnership loss, and when I realized the mistake a few weeks later, I had to send an amended 1045 which basically reset my processing clock back to zero. For anyone just starting this process, my advice would be to triple-check everything before mailing it in. Have someone else review your calculations and documentation because any missing piece can add months to an already lengthy process. Also, keep meticulous records of exactly what you sent and when. I created a checklist of every form, schedule, and supporting document, plus took photos of the complete package before sealing the envelope. If you end up having to call the IRS later, you'll need to be able to tell them exactly what was included in your original submission. The wait is excruciating, especially when it's a substantial refund, but based on what I'm seeing here, most people do eventually get their money. Just prepare yourself mentally for 6-8 months minimum.

I'm dealing with the exact same situation! Filed on April 13th and have been staring at that "processing delay" message for weeks now. My transcript is completely blank too, which is honestly making me more anxious than if it showed something - at least then I'd know they're working on it. Reading through everyone's experiences here has been really reassuring though. It sounds like this is just how things are going this year unfortunately. I claimed EIC and Child Tax Credit too, so that probably explains the extra delay based on what people are saying. I think I'm going to try the early morning calling strategy - seems like Tuesday-Thursday around 7am ET is the sweet spot. If that doesn't work, those callback services some of you mentioned sound like they might be worth looking into. At this point I just want to talk to an actual person who can tell me if there's a real issue or if I'm just stuck in the normal backup. Thanks everyone for sharing your stories - it really helps to know we're all going through this nightmare together! Hopefully we all see some movement soon. The IRS really needs to get their systems updated for next year. 🤞

I'm going through the exact same thing! Filed April 18th and have been dealing with that frustrating "processing delay" message for over 3 weeks now. My transcript is also completely blank, which is honestly nerve-wracking - you'd think there would be SOME indication they received it. Reading through all these responses has been really helpful though. It sounds like this is unfortunately just the new reality for tax season. Since I also claimed EIC and the Child Tax Credit, that probably explains why mine is taking longer based on what others have shared here. I'm definitely going to try calling early Tuesday morning around 7am ET like some of you suggested. If that doesn't work out, those callback services mentioned in the thread might be worth considering - seems like several people have had good luck actually getting through to speak with someone. It's really reassuring to know so many of us are dealing with this same situation. Makes me feel less like I messed something up on my return and more like the IRS is just completely overwhelmed. Hopefully we all start seeing some movement soon! This waiting game is absolutely brutal but at least we're not alone in it. 🤞

I've been through this exact situation with my uncle's construction business. You're absolutely right to be concerned - based on your description (set schedule, provided tools, assigned tasks), you're clearly an employee, not an independent contractor. The tax difference is substantial. As a 1099 contractor, you'd pay 15.3% in self-employment taxes plus your regular income tax. As a W-2 employee, your brother would pay half of that Social Security/Medicare burden (7.65%), and you'd only pay the other half. That's real money, especially when you're working part-time. I had success approaching my uncle by emphasizing that proper classification protects both of us. The IRS can impose significant penalties on businesses for misclassification - sometimes including back taxes, interest, and fines. I framed it as "let's make sure we're following the rules correctly" rather than accusing him of doing anything wrong. The conversation went much better than I expected. Most family business owners don't misclassify workers maliciously - they often just don't understand the rules. Once my uncle realized the potential risks to his business and the extra tax burden on me, he was happy to fix it. Now I get proper W-2s and don't have to deal with quarterly payments or self-employment tax. Don't let the family relationship stop you from protecting yourself financially. A respectful, fact-based conversation should resolve this quickly.

I've been dealing with a very similar situation at my sister's accounting firm. Like you, I was working set hours (9-5 daily), using her office equipment, and following her specific procedures for client work, but she was planning to give me a 1099. After doing some research, I realized this was a clear case of employee misclassification. The IRS uses a three-factor test: behavioral control, financial control, and the type of relationship. In your case (and mine), the employer controls when, where, and how the work is done - that's textbook employee status. The tax impact is real - you'd be paying about 7.65% more in taxes as a 1099 contractor, plus dealing with quarterly estimated payments. That's money you shouldn't have to pay if you're properly classified as an employee. I approached my sister by focusing on protecting both of us from potential IRS issues. Misclassification penalties can be severe for businesses - they could face back taxes, interest, and substantial fines. I shared the IRS guidelines with her and explained that I wanted to make sure we were both doing everything by the book. She was actually grateful I brought it up once she understood the rules and risks. Now I'm properly classified as a W-2 employee, and we both sleep better knowing everything is compliant. Don't let the family relationship stop you from having this important conversation - approach it as wanting to do things correctly rather than pointing out mistakes.