Got through this exact situation. Filed February 3rd. Return stuck for verification. Former employer never sent W-2 info to SSA. Called IRS April 12th. Submitted Form 4852 with final paystub. Refund received May 9th. Total 95 days. Worth the wait.

Based on my experience helping clients through similar situations, I'd recommend taking a proactive approach while you wait. First, gather all supporting documentation - final paystubs, direct deposit records, offer letter, anything that shows the wage amounts on your W-2 are accurate. This will be crucial if the IRS needs additional verification. Second, consider preparing Form 4852 (Substitute for Form W-2) as a backup plan, though don't file it yet since you have the actual W-2. The IRS often resolves these cases faster when they can see comprehensive documentation that supports the reported wages. Also, keep calling periodically (every 2-3 weeks) to check status - sometimes cases move through the system faster than the quoted timeframes, especially if the employer eventually does submit their data. The 120-day timeline is worst-case scenario, not typical resolution time.

Don't forget to make sure you're mailing to the correct IRS address! The address varies depending on your state and whether you're enclosing payment. I sent returns to the wrong processing center once and it delayed everything by weeks.

Great thread! I just want to add one more tip that saved me headaches when I mailed my past returns last year - include a brief cover letter with each envelope explaining what you're sending and why. Something simple like "Enclosed is my 2021 tax return being filed late due to [brief reason]. Please process and send any correspondence to the address on the return." This gives the IRS processor context and can help prevent your return from getting stuck in the wrong queue. Also, if any of your past returns are amendments (1040X forms), those need to go to a different processing center than regular returns, so make sure you're using the correct address for amended vs. original returns. The IRS website has separate address lists for each type. One last thing - if you're claiming refunds on any of these past returns, be aware that you only have 3 years from the original due date to claim them, so check those deadlines before spending money on postage!

One thing to consider that I haven't seen mentioned - Public Law 86-272 provides some protection from state income taxes for certain businesses, but it typically doesn't apply to service businesses like digital agencies. It only protects sellers of tangible personal property. This caught me by surprise last year when my accountant explained why my SaaS business couldn't use this protection despite having no physical presence in many states where we had customers.

This thread has been incredibly helpful! As someone who just started expanding my freelance digital consulting business beyond my home state, I had no idea the complexity I was walking into. I've been putting off addressing this because it seemed so overwhelming, but reading everyone's experiences makes it clear I need to tackle this sooner rather than later. The voluntary disclosure programs mentioned sound like a lifeline for those of us who may have inadvertently created nexus already. One question I haven't seen addressed - for those of you who went through the multi-state compliance process, how did you handle ongoing compliance? Are you now filing quarterly estimates in multiple states, or do most states allow annual filings for smaller service businesses? The administrative burden of maintaining compliance in multiple jurisdictions seems almost as daunting as figuring out the initial requirements.

Just wanted to share another approach that worked for me - if you have access to your employer's HR department or benefits administrator, they might have the complete TIN information on file. I was dealing with a similar issue where I couldn't get the full TIN for my Prudential 401(k) distribution, and after trying all the phone number suggestions here, I reached out to our company's benefits team. They had all the tax identification numbers for our retirement plan providers in their records and were able to give me the correct TIN within an hour. This might be especially helpful if your 1099-R is related to a workplace retirement plan rather than an individual account. The HR/benefits folks deal with this stuff regularly during tax season and usually have quick access to the information we need.

I've been following this thread and wanted to add one more tip that saved me a lot of headache. If you're still unable to get through to Prudential or find your 1099-R, you can actually request a wage and income transcript directly from the IRS that will show the complete TIN information they received from Prudential. You can get this transcript online at irs.gov/individuals/get-transcript, by phone at 800-908-9946, or by mailing Form 4506-T. The transcript will show all the 1099-R information that was reported to the IRS, including the full TIN. This is especially useful if you're dealing with multiple retirement accounts and need to verify which TIN goes with which distribution. The online transcript is usually available immediately, and it's free. This way you can get the official information directly from the IRS without having to navigate multiple customer service departments. Just make sure to request the "Wage and Income Transcript" for the specific tax year you need.

You definitely need to report that $6,500 as income on your tax return! The payment method doesn't change your tax obligations - whether you received payment through Zelle, cash, check, or any other method, income from your freelance graphic design work is taxable. Since you didn't receive 1099 forms, don't worry - individual clients aren't required to send them unless they paid you $600+ AND you're not incorporated. But the absence of a 1099 doesn't make your income tax-free. You'll need to report this on Schedule C as self-employment income, which means you'll owe both regular income tax AND self-employment tax (about 15.3% for Social Security and Medicare). I'd recommend setting aside 25-30% of future freelance payments for taxes. The good news is you can deduct legitimate business expenses like design software subscriptions, computer equipment, portion of your home internet used for work, etc. Make sure to keep receipts and records. Going forward, if you expect similar income levels, consider making quarterly estimated tax payments to avoid underpayment penalties. The IRS expects taxes to be paid throughout the year, not just at filing time. Don't stress too much - this is a very common situation for freelancers. Just make sure to report it properly and keep good records of both income and business expenses!

Hey Lauren! You absolutely need to report that $6,500 as income on your tax return. The payment method doesn't matter at all - whether you got paid through Zelle, PayPal, Venmo, cash, or check, income from your freelance work is taxable from dollar one. Don't worry about not getting 1099 forms - individual clients aren't required to send them unless they paid you $600+ AND you're not incorporated. But that doesn't make the income any less taxable! You'll report this on Schedule C as self-employment income, which means you'll owe both regular income tax AND self-employment tax (about 15.3%). I'd suggest setting aside 25-30% of future freelance payments for taxes. The good news is you can deduct business expenses like design software subscriptions, computer equipment, portion of home internet used for work, etc. Keep those receipts! Since you made a decent amount, you might also want to look into quarterly estimated tax payments for this year to avoid underpayment penalties if you expect similar income. Bottom line - report it all, but don't forget to claim your legitimate business deductions to reduce what you owe!