Great discussion everyone! As someone who's been through this exact decision process, I wanted to add a few practical considerations that might help others: The key advantage of the de minimis safe harbor isn't just avoiding recapture - it's also simplicity in record-keeping. With Section 179, you need to track business use percentage annually throughout the entire recovery period (usually 5-7 years depending on the asset). With the safe harbor, once it's expensed, you're done tracking. However, there's a timing consideration people often miss: if you're in a lower tax bracket this year but expect higher income next year, you might actually want to depreciate normally rather than take the immediate deduction. The safe harbor forces you to take the full deduction in year one. For the original poster's situation with the laptop and furniture totaling under $4,100, I'd lean toward the safe harbor given the flexibility concerns you mentioned. Just make sure you have that written accounting policy in place before filing - it really can be simple, but it needs to exist and be dated within the tax year. One last tip: if you're unsure about future business use, the safe harbor is definitely the safer choice. Better to get the deduction upfront without recapture risk than potentially owe money back to the IRS later.

This thread has been incredibly helpful! I'm dealing with a similar situation with my small marketing agency. I purchased a new MacBook Pro ($2,800), some office equipment ($1,600), and software licenses ($900) this year. Based on everything discussed here, it sounds like the office equipment and software would be perfect candidates for the de minimis safe harbor, but the MacBook exceeds the $2,500 threshold so I'd need to use Section 179 or bonus depreciation for that item specifically. One thing I'm curious about - can you mix and match these methods in the same tax year? Use the safe harbor for items under $2,500 and Section 179 for the laptop? Or does making the safe harbor election somehow restrict your other depreciation choices? Also, for those who've implemented the written accounting policy, do you create separate policies for different thresholds, or just one general policy that covers your approach to capitalizing vs. expensing various types of purchases?

Has anyone tried using the IRS's online account system to find this info? I've heard they have a business tax portal but never used it myself.

Great thread! As someone who's been running a small business for a few years now, I wanted to add that it's also helpful to understand the difference between cash vs. accrual accounting when looking at your profits. Most small businesses use cash accounting (you report income when you receive it and expenses when you pay them), but if you're doing accrual accounting, your profit calculation might look different because it includes money you've earned but haven't collected yet. Also, don't forget that your Schedule C profit affects your quarterly estimated tax payments for the following year. If this is your first profitable year, you'll likely need to start making quarterly payments to avoid penalties. The IRS expects you to pay as you go, not just once a year at tax time. One more thing - keep really good records of your business expenses throughout the year. I use a simple spreadsheet to track everything monthly, which makes tax time so much easier and ensures I don't miss any legitimate deductions that could reduce that profit number on line 31.

Did you claim any recovery rebate credit, earned income credit, or child tax credit on your return? Those trigger automatic reviews this year and are causing major delays. Also check if there were any math errors on your return. The IRS has been overwhelmed with corrections for simple math mistakes that slow everything down.

I'm dealing with a similar situation - my refund has been delayed for 6 months now. After reading through all these responses, I'm realizing there might be more options than I thought. For what it's worth, I did finally get through to the IRS using the early morning calling strategy someone mentioned. Called at exactly 7:00 AM on a Wednesday and got connected after about 2 hours on hold (which felt like a miracle compared to my previous attempts). The agent was actually very helpful and could see exactly what was holding up my return. In my case, it turned out to be an issue with my employer's reporting that didn't match my W-2. The agent explained that these discrepancies often aren't caught until months later in the process, which explains the long delay with no communication. One thing I'd add is to make sure you have all your documentation ready when you do get through to someone - your AGI from last year's return, exact refund amount, and any relevant tax documents. The agents can often resolve things on the spot if you have everything they need. Victoria, given that you're at 8 months now, you definitely qualify for Taxpayer Advocate Service assistance. That might be your best bet at this point, especially with the financial hardship from needing those home repairs.

Check your tax transcript for code 570! If you see that, it means there's a hold on your account. Mine was delayed for similar reasons and that's what was happening. You might also see code 971 which means they sent a notice (that you may not have received).

I went through something very similar last year - 8 month delay on what should have been a straightforward refund. The combination of approaches mentioned here is your best bet. Start with requesting your tax transcript online immediately. This will show you if there are any specific codes indicating why it's being held. If you see codes like 570, 971, or 424, at least you'll know there's an active review happening rather than your return just sitting in a pile somewhere. Then I'd recommend a two-pronged approach: contact both the Taxpayer Advocate Service AND your congressional representative's office. The TAS is great for systemic issues and they have more time to work on your case, while congressional offices have those direct IRS lines that can get faster answers. If those don't work within 2-3 weeks, the Claimyr service really does work for actually getting through to the IRS phone system. I was skeptical too but after months of busy signals, being able to talk to an actual agent made all the difference. Don't wait any longer - 9 months is well beyond any reasonable processing time and you have multiple legitimate avenues to escalate this. The key is being persistent and using multiple approaches simultaneously rather than trying one thing at a time.

Don't forget about state and local taxes too! Since you mentioned working in a different township than you live in, check if both places have local income taxes. Where I live, I have to pay both city and school district taxes for where I live AND a local tax for where I work. It adds up fast.

One thing I haven't seen mentioned yet - make sure you understand the difference between being classified as an independent contractor versus an employee. The IRS has specific tests for this, and just because your boss says you're "independent" doesn't necessarily make it legally true. Key factors the IRS looks at include: Do you control HOW the work is done? Do you have your own tools? Can you work for other shops? Do you set your own schedule? If your boss controls most aspects of your work (when you work, how you do repairs, what jobs you take), you might actually be misclassified as a contractor when you should be an employee. This matters because if you're truly an employee, your boss should be paying half your Social Security/Medicare taxes and providing a W-2. Being misclassified can cost you thousands in extra self-employment taxes. If you think you might be misclassified, you can file Form SS-8 with the IRS to get an official determination, or Form 8919 when you file your taxes to only pay the employee portion of Social Security/Medicare taxes. Just something to consider as you navigate this situation!