Smart move skipping the audit protection! I've been filing with basic itemized deductions for over a decade and have never been audited. The IRS is really looking for bigger fish - people with complex business structures, unusually high deductions relative to income, or missing income. Your mortgage interest, charitable donations, and medical expenses are all backed up by third-party documentation (1098 forms, receipts, medical bills), which is exactly what you'd need to provide if questioned anyway. The "protection" doesn't change your actual tax liability or prevent issues - it just gives you someone to call if problems arise. I'd echo what others said about good record-keeping being your best protection. I keep a simple tax folder throughout the year and toss everything in there as I get it. Takes 5 minutes and costs nothing, versus paying TurboTax's inflated fees for peace of mind you probably don't need.

I went through this exact same decision last year and ended up skipping the TurboTax audit protection. Best choice I made! Like others mentioned, with standard itemized deductions you're really not in the high-risk category that the IRS typically targets. What helped me feel confident was realizing that all my deductions already had built-in documentation - my mortgage company provides the 1098 form, my charitable donations are mostly to established organizations that issue proper receipts, and my medical expenses came with insurance statements and provider bills. If the IRS ever had questions, I'd just need to send copies of stuff I already have. The peace of mind from good organization ended up being way better than paying for "protection." I created a simple system where I scan important tax documents into a cloud folder as soon as I get them, and keep physical receipts in a labeled envelope. Takes maybe 10 minutes total throughout the year and costs nothing. Honestly, TurboTax's scary messaging about audits is mostly just marketing to get you to spend more money. For straightforward situations like yours, the protection is solving a problem that probably doesn't exist.

I'm dealing with a very similar situation right now - I've been on unpaid maternity leave for the past 8 months and was stressing about the same exact thing! Reading through all these responses has been so helpful and reassuring. It's clear from everyone's experiences that the IRS really doesn't flag returns based on occupation fields not matching income sources. The consistent advice from people who've actually been through this situation, plus the professional perspectives from the HR and tax prep folks, gives me confidence that listing our actual job titles is definitely the right approach. I think we sometimes forget how common these kinds of employment situations actually are - unpaid leave, sabbaticals, career transitions, seasonal work, etc. The tax system has to accommodate all these real-life complexities, which is why the occupation field is more informational than anything else. Thanks to everyone for sharing their experiences and expertise. I'm going to follow the consensus here and list my actual job title without any qualifiers. Time to stop overthinking this and focus on the parts of our returns that actually impact our tax liability!

I've been following this discussion closely because I'm in a nearly identical situation - I was on unpaid personal leave for 11 months last year due to caring for my elderly parents. The consistency of advice here from people who've actually been through this, plus the professional insights from HR and tax prep experts, has been incredibly reassuring. What really helped me understand this was the point someone made about how the IRS processes millions of returns where occupation doesn't perfectly match income sources. Students working part-time, retirees with occasional income, people between jobs, seasonal workers - these mismatches are incredibly common and the system is designed to handle them. I was initially worried about the same thing as the original poster, but after reading everyone's experiences, I'm confident that listing my actual job title is the right approach. The occupation field is clearly more about describing your profession in general rather than explaining your specific work status for that tax year. Thanks to everyone for sharing their stories and expertise - it's made what seemed like a complicated decision much clearer. For anyone else in similar situations reading this thread, the takeaway seems clear: list your actual occupation and focus your energy on accurately reporting whatever income you did receive during the year.

I can definitely relate to your situation! I went through something very similar earlier this year - received a 4464C letter and immediately thought I had done something wrong with my taxes. The stress was overwhelming, especially when I needed my refund for some urgent expenses. From my experience and what I learned talking to an IRS agent, the 4464C letter is actually quite routine when you have significant income changes like you described. Your job change and income increase (tripling your salary) would definitely trigger their automated review system. The fact that your transcripts don't show any employer income yet is almost certainly just a processing delay, not an indication that your employers failed to report anything. What helped me the most was understanding that this is a verification process, not an audit or indication of wrongdoing. The IRS is simply making sure that what you reported matches what they receive from your employers. Once their systems catch up and process all the W-2 data, most of these cases resolve automatically. I know the waiting is incredibly stressful when you're counting on that refund money for necessary expenses like your car repairs. Try to be patient - the 60-90 day timeframe others mentioned is realistic, though many cases resolve faster. Keep checking your transcripts weekly if you can access them online, and once your employer income data appears there, your refund should process pretty quickly after that. You're definitely not alone in this situation - it seems like a lot of people are dealing with these income verification letters this year due to processing delays and economic changes that led to more job switches. Hang in there!

I'm going through this exact same situation right now! Just received my 4464C letter last week and was initially terrified that I had made some huge mistake on my return. Like you, I switched jobs mid-year with a significant income increase (went from $35K to about $85K), so reading all these experiences has been incredibly reassuring. What really struck me is how common this seems to be this year - it sounds like the combination of processing delays and people changing jobs during the economic shifts has created a perfect storm for these income verification reviews. I was beating myself up thinking I must have done something wrong, but now I understand it's just their system flagging normal life changes for verification. I've been obsessively checking "Where's My Refund" multiple times a day since I got the letter, which has been driving me crazy. I'm definitely going to adopt the weekly checking routine that several people mentioned here - seems much healthier for my sanity while waiting for this to resolve. The most helpful thing I've learned from this thread is that the missing employer data on transcripts doesn't mean anything went wrong with W-2 filings - it's just processing delays on the IRS side. That was my biggest worry since I kept seeing zeros everywhere when I checked. Thanks to everyone who shared their timelines and experiences. Knowing that most people eventually get their refunds processed, even if it takes 60-90 days, gives me hope that this will work out. The waiting is brutal when you're counting on that money, but at least now I know I'm not alone in dealing with this!

I just went through this exact same process last month! The confusion is totally understandable because the rules aren't super clear until you dig into the specifics. Here's what I learned: since you're going from sole prop to LLC, you need to figure out how your LLC will be taxed. If you're staying as a single-member LLC and NOT electing corporate taxation, you can actually keep using your existing sole prop EIN. The IRS treats single-member LLCs as "disregarded entities" by default, which means for tax purposes, you're still essentially a sole proprietorship. However, if you're adding partners (making it multi-member) or electing S-Corp or C-Corp taxation, then yes, you need a new EIN. The good news is there's no formal process to "cancel" your old EIN if you do need a new one - you just stop using it and start using the new one. I'd recommend calling the IRS Business Tax Line to confirm your specific situation, though fair warning - it can take a while to get through! Also, make sure to update your EIN with your bank, any business accounts, and vendors once you figure out what you need to do. That was the part I almost forgot!

This is such a common source of confusion! I went through the same thing when I converted my consulting business from sole prop to LLC last year. The deciding factor really comes down to your tax election. Since you mentioned you're doing this for liability protection (smart move!), you're probably planning to stay as a single-member LLC with disregarded entity status - which means you can absolutely keep your existing EIN. One thing I wish someone had told me earlier: even though you can keep the same EIN, make sure to update your business name with your bank and any vendors to reflect the LLC. I kept getting confused looks when my checks said "ABC Consulting LLC" but my EIN paperwork still showed my personal name from the sole prop days. Also, definitely keep good records of when you made the transition. I created a simple folder with my LLC formation date, operating agreement, and a note about continuing to use my sole prop EIN. Makes things much cleaner if the IRS ever has questions down the road. The liability protection alone makes the LLC worth it - you're making a smart business decision even if the tax side stays exactly the same!

I'm at 14 weeks waiting on my injured spouse claim too. From what I've researched, the IRS is really backed up this year - some people are reporting 20+ weeks. Have you checked your transcript lately? Sometimes there are updates there before they send any official notices. The waiting is brutal but unfortunately seems pretty normal for 2025 😕

I'm at 19 weeks on my injured spouse claim and still nothing! This is absolutely ridiculous. Filed in early September and here we are in January with zero movement on my transcript. I've called 4 times and each rep just says "keep waiting" - like thanks for nothing. At this point I'm wondering if they even received my paperwork. The financial stress is real when you're counting on that refund. Anyone else hitting the 20+ week mark?