As a side note on this, don't forget about the state tax implications too. Depending on your state, the LLC might need to pay an annual LLC fee or franchise tax regardless of how you structure the loan. In California for example, the minimum LLC tax is $800 annually even if your LLC doesn't make a profit. Also, some states have different rules about deducting mortgage interest than federal, so make sure you're checking both. I learned this the hard way last year when my state disallowed a deduction that was perfectly fine on my federal return.

Have you considered just skipping the LLC entirely? Unless you're concerned about liability protection, it might actually be simpler tax-wise to just own the property directly as an individual. Then you could deduct the HELOC interest directly on Schedule E for the rental portion of the property. The personal use complicates things either way, but removing the LLC from the equation eliminates the need for all the loan documentation between yourself and the LLC. Just a thought that might simplify your situation.

One more thing to consider - even if FreeTaxUSA doesn't have a specific form for 3921, you could use the "Additional Information" or miscellaneous income sections to at least note that you received the form and exercised ISOs below the AMT threshold. That way there's at least some record in your tax return if you ever get questioned.

I'm dealing with a very similar situation right now with my 2024 taxes. I exercised some ISOs last year and received Form 3921, but I'm also below the AMT threshold. After reading through all these responses, I think I'm going to take the approach of adding a note in FreeTaxUSA's additional information section mentioning that I received the form but it doesn't affect my current year taxes. One thing I'm curious about - for those of you who have dealt with this before, do you know if there's any specific language the IRS prefers when documenting this kind of situation? I want to make sure I'm being clear that I'm not trying to hide anything, just that the form doesn't create any additional tax liability for this year. Also, has anyone tried reaching out to FreeTaxUSA's support to ask why they don't have better support for Form 3921? It seems like with all the tech companies offering stock options these days, this would be a pretty common situation for their users.

mine hit last week same time! looks like they do evening batch processing

Congrats on getting your refund! 🎉 This is super helpful info - I had no idea CA processed refunds outside business hours. I filed last month and have been obsessively checking during the day only. Definitely going to start checking evenings too now. Thanks for sharing the exact time!

prayers up for speedy delivery 🙏 we all know that feeling of waiting

I feel your pain! Mine was mailed 4 days ago and I'm already checking the mailbox twice a day 😅 The waiting is the worst part, especially when you really need that money. Good luck!

I just went through this exact situation a few weeks ago and completely understand the stress! Here's what worked for me: First, don't panic - if your tax software is asking for a PIN from last year, it's because you definitely used one. The software stores this information, so trust what it's telling you. I had the same issue where I couldn't find my new PIN anywhere. What saved me was going directly to the IRS "Get an IP PIN" tool on their website (make sure you're on the official IRS.gov site). Even though you mentioned you have an ID.me account, you might need to go through their identity verification process again for the current tax year. The verification can be a bit tedious - they'll ask for information from previous tax returns, credit accounts, etc. - but once you get through it, your current PIN should display immediately. No waiting period or mailing delays. If for some reason the online tool doesn't work, you can also check if you received a CP01A notice in the mail that you might have missed. Sometimes these get mixed in with other mail or thrown away by mistake. Don't file without the PIN if your software is expecting one - it will definitely get rejected and just create more delays and headaches. The good news is that once you retrieve your PIN, filing should go smoothly from there. Good luck! The online tool really is your best bet for getting this resolved quickly.

I went through this exact same situation earlier this year and totally understand the panic! Here's what I learned that might help: If your tax software is asking for an IP PIN from last year, it's definitely because you used one before - the software has that information stored from your previous filing. So trust what it's telling you, even if you don't clearly remember setting it up. The fastest solution is definitely the IRS "Get an IP PIN" tool on their official website. Even though you already have an ID.me account, you'll likely need to go through their identity verification process again for the current tax year. It can take about 10-15 minutes and they'll ask you questions about your previous tax returns, credit history, etc. Once you complete the verification, your current 6-digit PIN should appear immediately - no waiting for mail or callbacks needed. I was able to get mine instantly and file my return the same day. One thing to keep in mind: if you don't use the PIN when your account is flagged for one, your return will definitely be rejected. The IRS system is expecting that additional security layer, so it's not optional. Don't stress too much about the timeline though - getting your PIN through the online tool is usually pretty quick once you know where to look. You've got this!