Thanks everyone for confirming the EIN! I was in the same boat as Mae - spent way too long looking for this number. One thing I learned from my tax preparer is that if you're using tax software and it asks for the "payer's federal ID number" for the 1099-INT, make sure you're entering it in the right field. Some programs have separate fields for EIN vs SSN, and the IRS EIN (52-1320843) should go in the EIN field specifically. Also, if anyone else is dealing with this, the IRS interest is reported on Line 2b of Form 1040 along with your other taxable interest - it doesn't get special treatment even though it's coming from the government. Hope this helps someone else avoid the same headache!

Just wanted to add my experience for anyone else dealing with this - I had the same issue last year and called the IRS to confirm. The representative told me that 52-1320843 is indeed their correct EIN for 1099-INT forms, and she mentioned that they're aware many taxpayers have trouble locating this information on the forms. One thing she emphasized is to make sure you're reporting the full amount shown in Box 1 of the 1099-INT, even if it seems like a small amount. The IRS has that information in their system and any discrepancy could trigger correspondence later. Also, if you received interest from the IRS in multiple years, you should have separate 1099-INT forms for each year - don't accidentally combine them on your current year return. The whole situation is definitely frustrating, but at least now we know the magic number to use!

I had this exact same situation two years ago! My 1099-MISC had my old address from before I moved, but everything else was correct. I was worried about it and called the IRS directly (took forever to get through), and the agent told me the same thing everyone here is saying - as long as the SSN and income amount are right, file away. The IRS matching system doesn't flag address discrepancies on 1099s. When you file your return, you'll use your current address, and that's what matters for their records. The address on the 1099 is really just for the company's mailing purposes. I'd still recommend updating your address with the company for next year's forms, but don't let this delay your filing. You're good to go ahead and file with your current address on your return!

I work as a tax preparer and can confirm what everyone is saying here - the address discrepancy on your 1099 won't cause any issues with filing. The IRS matching systems primarily focus on your SSN and the income amounts reported. When you file your return with your current address, that's what gets updated in their system. However, I'd definitely recommend reaching out to the company to update your address for future tax documents. It's a quick call or email now, but it prevents potential headaches next year. I've seen clients miss important tax documents because they kept getting sent to old addresses, which can lead to underreported income and IRS notices later. Go ahead and file with confidence using your current address on the return - just make sure the $4,250 income amount matches exactly what's on the 1099.

As someone who went through a similar situation last year, I want to emphasize the importance of understanding the timing of when you'll actually need to pay the AMT. Many people assume the prepaid amount will fully cover both the exercise cost and the AMT liability, but this isn't always the case. When I ran the numbers on my NSO exercise, the AMT hit was actually larger than I expected because of other factors in my tax situation that year. The prepaid forward helped, but I still needed additional cash to cover the full tax liability. Make sure you model out your complete tax picture for the exercise year, including any other income, deductions, or AMT preferences you might have. Also, consider the state tax implications if you're in a high-tax state - some states don't follow the federal rules exactly for these arrangements, which could create additional complexity. California, for example, has its own AMT rules that might treat your situation differently than the federal calculation. The three-year timeline also creates some interesting planning opportunities. If you expect to be in a lower tax bracket in the delivery year (maybe starting your own company with lower initial income), the capital gains treatment could be even more beneficial. Just something to factor into your overall decision-making process.

Before you proceed with this arrangement, I'd strongly recommend getting clarity on a few additional points that could significantly impact your decision: 1. **Exercise timeline pressure**: Since you mentioned being laid off, check your option agreement for the exact deadline to exercise. Most companies give 90 days post-termination, but some allow longer periods. This timeline constraint might be driving you toward this prepaid forward structure when other alternatives could be better. 2. **Alternative financing options**: Have you explored traditional option financing or exercise-and-sell arrangements? Some specialized lenders offer loans specifically for option exercises that might have better economic terms than giving up all future upside on 100k shares. 3. **Liquidity event timing**: Do you have any insight into when your company might go public or be acquired? If there's a potential liquidity event within the next 1-2 years, locking yourself into a 3-year forward contract could mean missing out on significant value creation. 4. **Contract termination provisions**: What happens if your company gets acquired before the 3-year delivery date? Some prepaid forwards have accelerated settlement clauses that might not be favorable to you. The tax treatment you described is generally correct for a properly structured variable prepaid forward, but as others have noted, the current contract terms you described (fixed 100k shares) sound more like a constructive sale. Given the complexity and your time pressure, consider getting a second opinion from another investment firm to compare terms and structures. The fact that this arrangement covers only 100k of your 120k options also means you'll need additional capital for the remaining 20k options anyway - make sure you're optimizing across your entire option portfolio, not just solving for the largest portion.

One thing nobody mentioned yet - when you mail in your paper return claiming the dependent that was already claimed, it will trigger what's called a "duplicate dependent investigation" automatically. The IRS will send notices to both you and the other party who claimed the child. Don't be alarmed when you get this notice! It's just part of the process. Make sure you respond to any IRS letters within the timeframe they specify (usually 30 days).

I'm going through something very similar right now with my nephew who I've had custody of for two years. His mom claimed him even though she hasn't seen him since last spring. One thing I learned is that you should also keep detailed records of things like school enrollment forms, medical appointments, and even grocery receipts that show you're buying food for the child. The IRS wants to see proof that the child actually lived with you and that you provided more than half their support. Also, if you have any documentation from social services or the court system about the foster placement, make sure to include copies of those with your paper return. The clearer you can make it that you're the legal caregiver, the stronger your case will be when they investigate the duplicate claim. Don't let the bio parents intimidate you out of claiming what you're legally entitled to. You're doing the right thing by fighting this!

Has anyone else run into issues with lenders when taking this approach? I did something similar last year, and even though we technically kept the same borrowing entity (the LLC), the bank eventually found out about the ownership change and triggered a due-on-sale clause in the mortgage. Ended up having to refinance at a higher rate.

This is a complex situation that requires immediate attention to several tax and legal issues. First, yes, an S-Corp can legally own 100% of an LLC, but there are critical steps you need to take to properly structure this arrangement. Since you've acquired the single-member LLC, it will become a disregarded entity for federal tax purposes unless you make a specific election otherwise. This means all income, expenses, and activities of the LLC flow through to your S-Corp's tax return (Form 1120S). You'll need to file Form 8822-B to update the responsible party information with the IRS, changing it from the original owner's SSN to your S-Corp's EIN. Regarding your property tax avoidance strategy, I'd strongly recommend checking your local jurisdiction's rules immediately. Many counties and states have closed this "loophole" by defining transfers of controlling interest in entities as taxable events. You may still face reassessment despite purchasing the LLC rather than the property directly. For mortgage payments, you can continue making them through the LLC as normal, but be aware that many commercial loans contain change-of-control provisions that could trigger acceleration clauses when ownership changes occur. I'd recommend consulting with both a tax professional and attorney familiar with your jurisdiction's property tax laws to ensure you're compliant with all requirements and to address any potential issues before they become problems.