This is a really important thread for people to understand. I work in tax preparation and see clients every year who think they can "fly under the radar" with unreported income, especially from trading accounts. What many people don't realize is that the IRS has been heavily investing in data analytics and cross-referencing systems. They don't just rely on manual audits anymore - they have algorithms that automatically flag discrepancies between what brokerages report (your 1099-B forms) and what you report on your return. For $1M in capital gains, you're not just looking at potential civil penalties. The IRS has specific programs targeting high-income tax evasion, and this amount would absolutely qualify. They have dedicated teams that focus on cases exactly like this hypothetical scenario. The smart approach is exactly what you mentioned - proper reporting and legitimate tax planning strategies. There are legal ways to manage capital gains tax like tax-loss harvesting, installment sales for certain assets, or timing gains across multiple years. But the key word is "legal" - trying to hide $1M in gains is never going to end well.

Just to add another perspective - I work at a mid-sized brokerage and can confirm that we're required to report ALL capital gains transactions to the IRS, no matter the size. The 1099-B forms are sent both to you and directly to the IRS by January 31st each year. What's interesting is that our compliance department also has to file Suspicious Activity Reports (SARs) for unusual trading patterns or large withdrawals that don't match a client's typical behavior. So if someone suddenly withdrew $1M after a big trading win and their account history showed they normally kept smaller balances, that would definitely trigger additional scrutiny. The good news is there are completely legitimate strategies for managing large capital gains. You could consider spreading the realization of gains across multiple tax years, using tax-advantaged accounts where possible, or working with a qualified tax professional to explore options like Qualified Opportunity Zones if you're looking to reinvest. Bottom line - the IRS already knows about your gains before you even file. The question isn't whether they'll find out, it's how you want to handle it. Proper planning and honest reporting will always be less expensive and stressful than trying to hide it.

I'm experiencing this exact same issue and this thread has been incredibly helpful! Filed on 2/19 with a $4,100 payment through TaxAct, and it's been sitting in my account for almost 3 weeks now. Like everyone else here, I've been obsessively checking my bank balance multiple times a day expecting the money to disappear. The uncertainty was really getting to me - I kept wondering if I had somehow messed up the payment authorization or if there was going to be some surprise penalty. Miguel's explanation about the 3-4 week processing backlog being system-wide this year is such a relief. And all the practical advice here - keeping documentation, setting up the online IRS account, learning about EFTPS for future years - has been incredibly valuable. I'm going to follow everyone's lead and keep that money untouched in my account for the full 8 weeks, set up my online IRS account today to at least confirm they have my information, and try to be patient with their processing delays. It's amazing how much less stressful this feels knowing it's happening to so many people and that we're protected from penalties as long as we authorized payment on time. Thanks to everyone for sharing your experiences and solutions - you've transformed what felt like a potential disaster into just another frustrating government processing delay!

I'm going through the exact same thing and this thread has been such a relief! Filed on 2/13 with a $3,400 payment through H&R Block online, and it's been sitting in my account for over 3 weeks now. Like so many others here, I've been checking my bank account multiple times daily expecting the money to just disappear. I was starting to panic thinking I had made some error or that the IRS was going to surprise me with penalties later. Miguel's explanation about the 3-4 week processing backlog being system-wide this year is incredibly reassuring, especially coming from someone who works in tax prep and is seeing this across multiple clients. And all the practical advice about keeping documentation, setting up the online IRS account, and learning about EFTPS for next year has been so helpful. I'm going to follow everyone's advice - keep that money untouched for at least 8 weeks, set up my online IRS account today to confirm they have my information, and try to be patient with their processing delays. It's amazing how much better this feels knowing we're all protected from penalties as long as we authorized payment on time. Thanks to everyone for sharing your experiences - you've turned what felt like a personal financial crisis into just another frustrating bureaucratic delay that we're all weathering together!

I switched from Chime to Chase about 18 months ago and can totally relate to your situation! The first tax season with Chase was definitely an adjustment period - I kept expecting that familiar early deposit notification that never came. Here's what I've learned from two tax seasons with Chase: they are absolutely consistent with depositing exactly on the DDD, usually between 2:30-4:00am. Last year mine hit at 3:22am on the exact date, and this year it was 2:47am (also exactly on the DDD). No early surprises, but also zero stress about timing once you adjust your expectations. For your spring break planning with the kids, I'd suggest embracing the certainty rather than mourning the lost "early deposit" feature. With Chime, I was constantly in limbo wondering "will it be today?" which actually created more anxiety than I realized. Now I just mark the DDD on my calendar and plan accordingly. Pro tip that's saved my sanity: set up Chase's mobile push notifications and then resist the urge to manually check your account. That 3am notification is surprisingly satisfying when it finally comes! Your March 13th timeline actually works out perfectly - you'll have the money mid-week and can take advantage of any weekend booking deals for spring break activities. The kids might be driving you crazy now, but they'll appreciate the solid plans you can make once the refund hits!

I'm in a very similar situation - switched from Chime to Chase this year and have been anxiously waiting for my refund with a DDD of March 11th. Reading through all these experiences has been incredibly reassuring! What really stands out to me is how consistent everyone's Chase timing has been - that 2-4am window seems to be rock solid across all the responses. I've been obsessively checking my account each morning, but I'm going to follow everyone's advice and set up push notifications instead of driving myself crazy. The mindset shift from "early deposit excitement" to "reliable planning certainty" is something I'm still working on, but these stories are helping me see it as a positive change rather than a downgrade. With Chime, I realize I was always on edge wondering when it would hit, which wasn't actually less stressful than knowing the exact date. For those of you with spring break planning - the countdown calendar idea is genius! I might steal that approach for future financial planning with my family. It's so much better than vague "when the money comes in" conversations. Thanks to everyone who shared their specific experiences and timing details. It's really helpful to hear from people who've made this exact transition. Here's to trusting our DDDs and embracing Chase's predictability! 🏦

Has anyone used TurboTax for reporting rental income from a portion of their primary residence? Does it walk you through the allocation calculations and depreciation stuff decently? I'm debating between that or hiring an accountant this year.

I went through this exact situation last year with my house where I rent out the upstairs to grad students. The square footage method that Olivia mentioned is definitely the way to go for shared expenses like your roof and exterior painting. One thing that really helped me was creating a simple spreadsheet to track everything. I measured my rental space (including common areas the tenants use) and calculated it as 40% of my total home. So for that $2,800 roof repair, I could deduct $1,120 (40% x $2,800). For your basement-specific expenses like the flooring and hallway lighting, those are 100% deductible since they only benefit the rental portion. The washer/dryer is trickier - if your tenants use it exclusively, it's 100% deductible. If you share it, use your percentage split. The repair vs. improvement distinction is huge for tax purposes. Your flooring replacement might be considered an improvement if it's significantly better than what was there before (meaning you'd need to depreciate it over 27.5 years). But if you just replaced damaged flooring with similar quality, it's likely a repair and fully deductible this year. Keep detailed records of everything - photos, receipts, measurements. I learned this the hard way when I couldn't find a receipt during tax prep!

Tip from someone who deals with this every year: Take screenshots or save PDFs of the historical stock prices for any noncovered securities you sell, especially if you're using stepped-up basis or had to research the original purchase price. Keep these files with your tax records. The IRS has been paying more attention to capital gains in recent years, and having documentation ready if you get questioned will save you massive headaches. I learned this the hard way after getting a CP2000 notice for some old stocks I sold.

This is exactly the kind of confusion that trips up so many people! I went through the same thing last year with some old mutual fund shares. The key thing to remember is that "noncovered" literally means the IRS isn't getting that basis information from your broker, so it's 100% on you to report it correctly. One thing I'd add to the great advice already given - make sure you're consistent across all your noncovered securities. If you have multiple sales throughout the year, use the same method for calculating basis (FIFO, specific identification, etc.) and document your approach. The IRS wants to see consistency in your reporting methodology. Also, if you're using TurboTax, it should walk you through this step by step. When it asks about the noncovered securities, just make sure you're entering your actual basis, not necessarily what's printed on the 1099-B. The software will handle the rest and make sure it gets reported properly on your Schedule D and Form 8949.