Has anyone dealt with this situation where the escrow company issued the 1099-S incorrectly? My brother and I sold our parents' house but the escrow company put the entire amount under my SSN even though we split it 50/50. Will this cause problems with the IRS?

I went through something very similar when my sister and I inherited and sold our dad's rental property. One thing I'd add is to make sure you have the proper estate documentation showing the stepped-up basis value. We had to get a formal appraisal done as of the date of death because the estate didn't have one initially. Also, since you mentioned using TurboTax - when you get to the Schedule D section, there's a specific checkbox for "inherited property" that ensures the software treats it correctly for the stepped-up basis calculation. Make sure you check that box, otherwise it might try to use your parents' original purchase price as the basis, which would result in a much higher taxable gain. One last tip - if the house had any improvements made between the date of death and the sale date, you can add those to your basis as well. We had to do some minor repairs before selling and those costs reduced our taxable gain.

I still get confused about this. Last year I overpaid by like $2 because I rounded up everything to be safe. Better than underpaying I guess but still annoying.

I've been dealing with this same rounding issue for years! What finally helped me was creating a simple spreadsheet template that automatically rounds each figure to the nearest dollar before doing any calculations. For your specific numbers: $37,499.60 rounds to $37,500, $19,000.15 rounds to $19,000, so you'd owe $18,500. For state: $25,000.30 rounds to $25,000, minus $23,000 paid = $2,000 owed. The key is being consistent - always round individual amounts first, then calculate. I learned this the hard way after getting a small underpayment penalty one year because I was inconsistent with my rounding methods across different quarters. Now I use the same approach every time and haven't had any issues.

I went through this exact same situation two years ago and can definitely relate to the stress of discovering you've been reporting the wrong basis for multiple years! The consensus here is correct - you really should file amended returns for all three years (2020, 2021, 2022) rather than just correcting it going forward. I know it seems like a hassle, but Form 8606 creates an official paper trail with the IRS for your nondeductible contributions, and having incorrect basis amounts on file will cause problems down the road when you take distributions. One thing I'd add is to make sure you understand WHY your basis calculations were wrong in the first place. Common mistakes include not properly tracking contributions that span tax years (like contributions made in early 2021 for tax year 2020), or incorrectly including rollover amounts in your basis calculations. When you file your 1040-X forms, be very clear in Part III about what you're correcting. Something like "Correcting basis amount reported on Form 8606 for nondeductible IRA contributions" helps the IRS processors understand exactly what they're looking at. The good news is that since you haven't taken any distributions yet, this is purely a record-keeping correction with no immediate tax impact. But getting it fixed now will save you major headaches (and potentially double taxation) in the future.

I went through a very similar situation about 18 months ago - discovered I had been calculating my Form 8606 basis incorrectly for three consecutive years. The stress of realizing the mistake was overwhelming at first, but I can confirm that filing amended returns was absolutely the right path forward. One thing I learned during this process is that the IRS actually appreciates when taxpayers proactively correct these types of errors, especially when no additional tax is owed. In my case, like yours, I hadn't taken any distributions yet, so there was no immediate tax impact. The amendment process itself was more straightforward than I expected. For each year, I filed Form 1040-X with a corrected Form 8606 attached. In Part III of the 1040-X, I wrote something like "Correcting nondeductible IRA contribution basis reported on Form 8606 - see attached corrected form." The IRS processed all three amendments without any issues or follow-up questions. What really helped me was creating a detailed worksheet showing my correct basis calculations for each year, including how the errors carried forward from year to year. This became invaluable reference material when preparing the amendments and will be helpful for future tax filings. Don't beat yourself up too much about the mistake - Form 8606 can be tricky, and basis tracking errors are more common than you might think. The important thing is that you caught it before taking distributions and are taking steps to fix it properly.

As a newcomer to this community, I wanted to add my perspective on this situation. I went through something very similar last year as an F-1 student working with a tech startup. The key thing I learned is that you're dealing with multiple interconnected issues here: the correct tax form (W-8ECI vs W-9), potential worker misclassification, and visa compliance. Each one can create problems independently, but together they can really complicate your tax situation. From my experience, the sooner you address this with your employer, the better. I waited almost two months before correcting my forms, and it created a lot of additional paperwork to sort out the withholding issues retroactively. The startup I worked with was actually grateful when I brought it to their attention - they had no idea about the different requirements for F-1 students and were worried about potential compliance issues once they understood the situation. One practical tip: when you meet with your tax advisors, make sure to ask specifically about your state tax obligations too. Some states have different rules for nonresident aliens that could affect your overall tax liability beyond just the federal forms. The documentation advice others have shared is crucial - I started keeping detailed records of my work arrangement after reading similar discussions, and it really helped when I had questions about worker classification later. Good luck getting this sorted out!

As someone new to this community and currently dealing with a very similar F-1 visa tax situation, this entire discussion has been incredibly valuable! I'm amazed by how thoroughly everyone has covered the complexities involved. I'm also working with a small startup that initially had me fill out a W-9, and reading through all these experiences has made me realize I need to address this immediately rather than waiting. The distinction between W-8ECI for effectively connected income versus W-8BEN for other types of income is something I completely missed initially. What really stands out to me from this thread is how common these issues seem to be with startups and smaller companies that simply don't have experience with international student tax requirements. The advice about approaching it as a compliance issue that protects both parties rather than pointing out mistakes is brilliant - I was worried about creating tension with my employer. I'm definitely going to download Publication 519, schedule a meeting with my international student office, and get all my documentation organized before having this conversation. The emphasis on proper documentation throughout this process makes total sense, especially given the potential visa compliance implications. Thank you to everyone who shared their experiences and resources - this community is an incredible asset for navigating these complex F-1 student employment situations. I'll make sure to update on how my situation progresses!

Has anyone used TurboTax for reporting both types of mileage? I'm in a similar situation with coaching and wondering if it handles the split between charitable and business miles well.

Just wanted to add something important that hasn't been mentioned yet - make sure you're only deducting the miles from your home to the sports activities, not any personal errands you might combine with those trips. The IRS is pretty strict about this. For example, if you drive from home to practice (deductible), then stop at the grocery store on the way back (personal), you can only claim the home-to-practice portion. I learned this the hard way during an audit a few years back. Also, keep receipts for any tolls or parking fees related to these trips - those are deductible too in addition to the mileage. For your paid coaching position, these would go on Schedule C along with your business miles. For volunteer activities, they'd be additional charitable deductions if you're itemizing. One more tip: consider using a mileage tracking app like MileIQ or Everlance. They use GPS to automatically log your trips and let you categorize them as business, charitable, or personal. Much more reliable than trying to recreate your logs from memory later.