One thing to keep in mind about the timing - if you do decide to hold onto those I-bonds for college, make sure you track when they were issued and their final maturity dates. EE bonds stop earning interest after 30 years, and I-bonds stop after 30 years too. If your bonds reach final maturity before your daughter starts college, you'll be forced to report all the interest as income regardless of whether you use the money for education. I learned this the hard way when some of my older EE bonds from the 1990s hit their 30-year mark. The IRS sent me a 1099-INT for the full interest amount even though I hadn't cashed them in yet. So if you're planning to use bonds for college in 10+ years, double-check that they won't mature before then, or you might lose the education tax benefit entirely. Also worth noting - the education exclusion only applies to the bond interest, not the principal. So if you paid $5,000 for bonds that are now worth $8,000, only the $3,000 in interest can potentially qualify for the tax exclusion, not the full redemption amount.

This thread has been incredibly helpful! I'm in a similar situation with bonds purchased between 2010-2015 that I was considering using for my son's private middle school. After reading all these responses, I'm definitely going to: 1. Keep the bonds for college expenses when they'll actually qualify for tax benefits 2. Max out our 529 plan for the $10K K-12 tuition benefit 3. Check with my employer about dependent care FSA options for additional costs One question I haven't seen addressed - if I have bonds that will mature right around when my son starts college (say 2035), is there any flexibility in the timing? Like if some bonds mature in his freshman year but I don't need all the money until junior/senior year, can I still get the education exclusion on bonds that matured in earlier years? Or does the exclusion have to be claimed in the same tax year the bonds mature or are redeemed?

Just joining this community and wow, this thread is exactly what I needed to find! I received my CP12 notice yesterday showing a $2,100 reduction and I was honestly panicking about how to handle it. Reading through everyone's experiences has been incredibly helpful - it sounds like the phone route is basically impossible right now, but there are definitely other options. I'm particularly interested in the written response approach that several people mentioned having success with. A few questions for those who've been through this: 1. When sending the certified mail response, do you send it to the address printed on the CP12 notice itself, or is there a different address for disputes? 2. For the online IRS account transcript - does it show the specific reason for the adjustment, or just that an adjustment was made? My notice just says "math error" but doesn't explain which line or calculation they changed. 3. Has anyone tried the Taxpayer Advocate Service route? I'm wondering if this situation might qualify since it's causing financial hardship (I was counting on that refund for some urgent expenses). Thanks to everyone for sharing your experiences - this community is a lifesaver when dealing with IRS issues! I'll definitely update with my results once I try some of these approaches.

New to this community and currently dealing with my first CP12 notice - what a welcome to tax season! Got mine last week with a $950 reduction and after reading through this entire thread, I'm both relieved and overwhelmed. Relieved because clearly I'm not alone in this struggle (the automated "high call volume" rejection is apparently universal), but overwhelmed by all the different approaches people are suggesting. Based on everyone's experiences here, I'm leaning toward the written response route since multiple people have had success with it (@Molly Chambers @Salim Nasir). But I have one specific question that I haven't seen addressed: If you send a written response and they don't agree with your position, do they at least send back a detailed explanation of their reasoning? Or do you just get another generic notice saying "adjustment stands"? I'm trying to decide if it's worth the effort to dispute, or if I should just accept their math and move on. My notice claims there was an error with my Earned Income Credit calculation, but I triple-checked my work and I'm confident it's correct. Also planning to set up that online IRS account that @Salim Nasir mentioned - having real-time status updates sounds like it would save a lot of anxiety during this process. Thanks to everyone for sharing their experiences! This thread is incredibly valuable for those of us navigating this mess.

One thing to keep in mind - have you checked if Chase has any specific policies about this? Some banks have their own internal rules about accepting deposits for non-account holders, right? While the IRS will send it regardless, it might be worth a quick call to Chase just to confirm they don't have any strange policies. But honestly, millions of couples do this exact same thing every year without issues. Did you get confirmation that your return was accepted by the IRS already?

Just wanted to add some reassurance here! I'm a tax preparer and see this situation literally hundreds of times every tax season. The IRS processes joint returns to individual accounts without any issues whatsoever. Your concern is completely understandable, especially coming from a country with stricter banking regulations, but the US system is much more lenient about this. The key thing is that you filed jointly, which means both you and your wife are entitled to that refund regardless of whose individual account it goes to. The IRS treats married filing jointly as a single tax unit, so they don't differentiate between whose specific account receives the deposit. Just make sure your routing and account numbers are correct (maybe double-check them one more time for peace of mind), and you should be all set. Chase will accept the deposit without question - they see joint tax refunds going to individual accounts constantly during tax season.

Oh my goodness, I feel your anxiety! I've been through this exact situation! Here's what you need to know: 1. USPS mail delivery times have been WILDLY inconsistent in 2024 (I'm a postal worker's spouse) 2. IRS refund checks are sent from regional service centers, not all from the same location 3. The June 7th mail date means it was PROCESSED on that date, not necessarily physically mailed 4. If you don't receive it by June 21st, call 800-829-1040 5. Have your tax return, ID, and the exact refund amount ready when you call 6. Request a "refund trace" using Form 3911 (they can process this over the phone) 7. The replacement check typically takes 6-8 weeks to process The technical term for this is a "refund trace and replacement" procedure under IRC section 6402. You're definitely not alone in experiencing this frustrating wait!

This happened to me last year! My check was mailed April 12th, 2023, and I was checking my mailbox like a crazy person every day. It finally showed up on April 29th - a full 17 days later! The envelope was postmarked April 18th, so there was almost a week between the "mail date" in the system and when it actually went out. Funny story - I was so relieved when it arrived that I immediately drove to my bank to deposit it, only to realize it was after hours on Friday. Had to nervously keep it in my house all weekend! Just hang tight - it's probably making its way to you right now. I'm so glad I didn't waste time calling the IRS since it arrived just a few days after I was planning to contact them.

I made a big mistake my first year reselling by not tracking any phone expenses! My accountant was like "um, you use your phone for taking ALL your listing photos and communicating with customers and you didn't deduct it??" 😂 Lesson learned! Now I track my usage with a simple app that logs how much time I spend in ebay/paypal/etc apps vs other apps. Super easy way to justify my percentage. Also don't forget if you buy a new phone every 2-3 years you can depreciate it instead of deducting all at once.

As someone who's been reselling on various platforms for about 2 years, I can definitely confirm that phone deductions are legit! I upgrade my phone every couple years specifically because I need good camera quality for listing photos and a fast processor for managing inventory apps. One thing I learned the hard way - make sure you're also deducting things like your phone case and any accessories that help with business. I have a tripod mount and ring light attachment that I use exclusively for taking product photos, and my accountant said those are 100% deductible as business equipment. Also, regarding your monthly phone bill question - you're absolutely right that it's separate from your home office deduction. I've been deducting about 70% of my monthly bill based on my usage patterns, and it adds up to a nice chunk of savings over the year. The key is just being consistent with whatever percentage you choose and having a reasonable way to back it up if asked. Good luck with the new phone - having better tools really does make the business more efficient!