Don't forget to sign and date each return! I mailed in my 2022 return last year and got it returned to me 2 months later because I forgot to sign it. Such a stupid mistake but it delayed everything. And make sure to use the correct address for where you're supposed to mail prior year returns - it's different depending on your state.

Just wanted to add another important tip - when you print your W-2s from the IRS website, make sure you're printing them at 100% scale (not "fit to page"). The IRS can be picky about document formatting, and if the forms are shrunk down or stretched, it might cause processing delays. Also, if you have any 1099 forms (for contract work, interest, etc.), you can get those from your IRS transcript too and print them the same way. The key is making sure everything is legible and matches the official format exactly. I'd recommend doing a test print on regular paper first to check the formatting before printing your final copies on good quality paper.

Has anyone used the "substantially equal periodic payments" (SEPP) method to withdraw from a SEP IRA? I'm considering this to avoid the 10% penalty since I'm only 52.

This is a really complex situation that highlights why SEP IRAs can be tricky for people who transition from business to personal contributions. Based on what others have shared here, it sounds like you have a few different issues to untangle: 1. Tax withholding on withdrawals - as mentioned, SEP IRA distributions will have taxes withheld regardless of how you contributed 2. Missed deductions - if you contributed from personal funds after closing your business but didn't claim tax deductions, you may have double-taxed that money 3. Potential amended returns - you might be able to recover some of those missed deductions if you're still within the filing window Given how complicated this has gotten, I'd strongly recommend getting professional help to sort out your contribution history and determine exactly what your tax situation is before making any withdrawals. The stories others shared about using services like taxr.ai or getting through to actual IRS agents via Claimyr sound like they could be really helpful for someone in your position. Don't let this drag on - the longer you wait, the fewer options you'll have for recovering those missed deductions.

This thread has been incredibly helpful! I'm dealing with a CP140 notice myself (just received it yesterday) and I'm taking notes on everyone's strategies. One question I haven't seen addressed yet - for those who successfully got interest or penalties removed, how long did the whole process take from start to finish? I'm trying to decide whether to pay immediately to stop additional interest from accruing, or wait to see if I can get some relief first. Also, did anyone run into issues with the IRS claiming they DID send previous notices even when you have proof you didn't receive them? I'm worried about getting into a "he said, she said" situation where they insist notices were sent but I have no way to prove I didn't get them.

I want to add one more resource that hasn't been mentioned yet - the Taxpayer Advocate Service (TAS). If you're having trouble getting the IRS to respond to your requests or if you're facing financial hardship because of this situation, you can contact TAS at 1-877-777-4778. They're an independent organization within the IRS that helps taxpayers resolve problems when normal channels aren't working. TAS can be particularly helpful if you're dealing with systemic issues like notices going to wrong addresses repeatedly, or if the IRS isn't responding to your abatement requests within reasonable timeframes. They have the authority to issue Taxpayer Assistance Orders that can stop collection actions while your case is being reviewed. I used TAS last year when the IRS kept insisting I owed money that I had already paid, and they were able to get everything sorted out within a few weeks when my own calls and letters weren't getting anywhere. It's a free service and they really advocate for you against the IRS bureaucracy. Worth keeping in your back pocket if the standard approaches don't work out.

Make sure you file as Head of Household if you're eligible! If you're unmarried, paid more than half the cost of keeping up your home for the year, and your daughter lived with you for more than half the year, you qualify. The HOH filing status gives you a higher standard deduction and better tax rates than filing as Single.

Document everything now while it's fresh! Keep records of: - School enrollment showing your address - Medical records with your address as primary contact - Daycare receipts and records - Any text messages where he acknowledges she lives with you - Bank statements showing you pay for her expenses - Utility bills showing she lives at your address Also, consider filing early if possible. While the IRS will sort out duplicate claims, getting your return in first can help avoid delays. If he does try to claim her and your e-filed return gets rejected, you can always mail in a paper return with all your supporting documentation. The stress is real, but you're clearly the custodial parent here. Your ex paying sporadic child support doesn't give him the right to claim her when she lives with you full-time. Stay strong and don't let him bully you into signing away your legitimate tax benefits!

Something I don't see mentioned is that sometimes these billionaires DO sell stock. Musk has sold billions in Tesla stock at various points. When they do need to sell, they often offset gains with losses elsewhere in their portfolio (tax-loss harvesting) or time sales to coincide with charitable donations that provide tax deductions. They might also time some sales for years when they have business losses to offset the gains. It's not that they never sell - they just do it strategically and as a last resort, preferring to use the loan strategy for most of their cash needs.

One thing that's worth mentioning is that this strategy also depends heavily on having assets that consistently appreciate over time. The "buy, borrow, die" approach works great when your stock portfolio is growing at 7-10% annually, but it can become problematic during extended bear markets. If someone borrowed heavily against their portfolio and then the market crashed (like in 2008 or early 2020), they could face margin calls requiring them to either put up more collateral or sell assets at exactly the wrong time. This is why most wealthy individuals using this strategy maintain conservative loan-to-value ratios and have diversified asset bases. For billionaires like Musk, they often have multiple revenue streams and can weather market volatility, but it's not a risk-free strategy. The timing and amount of borrowing is crucial to avoid forced liquidations during market downturns.