Has anyone actually been audited over this? I've been deducting some of my protein and meal prep as business expenses for 2 years now since it's directly related to my fitness content. Wondering if I'm playing with fire here.

I'm a newer fitness influencer and this thread has been super helpful! I've been tracking my food expenses but wasn't sure what was actually deductible. Based on what everyone's saying, it sounds like I need to be way more strategic about documenting which foods are used specifically for content versus personal consumption. Quick question for those who've been doing this longer - do you actually buy separate ingredients/supplements just for videos to make the documentation cleaner? Seems like it might be worth it to avoid any gray areas, especially with what @Sophia Carson mentioned about increased IRS scrutiny on fitness influencers. I'd rather be overly cautious than deal with an audit down the road. Also really appreciate the tool recommendations - going to check out both taxr.ai and Claimyr since I've been struggling to get clear answers on this stuff.

I'm dealing with a very similar situation right now! Made the same mistake with my backdoor Roth on TurboTax this year. The software really needs better guidance on Form 8606 - it's way too easy to mess up the basis calculations. One thing I learned from reading through IRS Publication 590-A is that the key is properly reporting your nondeductible traditional IRA contribution on lines 1 and 2 of Form 8606. If you contributed $6,000 non-deductibly, that full amount should show as your basis. Then on Part II for the conversion, that basis reduces the taxable portion to zero. Has anyone here had success getting TurboTax to walk you through the correction process when you call their support line? I'm debating whether to try fixing it myself in their amendment tool or just go straight to a CPA at this point.

I'm going through this exact same issue right now and this thread has been incredibly helpful! I also messed up my Form 8606 on TurboTax for my backdoor Roth conversion. Reading everyone's experiences, it's clear the main problem is how TurboTax phrases their questions about IRA contributions and basis. What I've learned from this discussion is that I need to wait for my return to process, then file Form 1040-X with a corrected Form 8606. The key correction is making sure lines 1 and 2 properly show my full nondeductible contribution as my basis, which should then make the conversion tax-free on Part II of the form. It's frustrating that such a common retirement planning strategy trips up so many people in tax software, but at least there's a clear path to fix it. Thanks everyone for sharing your experiences and the various tools/resources you've found helpful!

Based on everyone's experiences shared here, it's clear that H&R Block's standard practice is to deduct fees from federal refunds rather than state refunds. This makes sense from their perspective since federal refunds are typically larger and more predictable in timing. However, the key takeaway from this thread is that there can be exceptions - particularly if your federal refund gets delayed for review or if it's smaller than their fee amount. Dylan's experience where they switched to taking from his state refund due to federal delays is a perfect example of why you shouldn't just assume. For anyone filing this year, I'd recommend: 1. Explicitly ask during filing which refund they'll deduct from 2. If filing online, look for the breakdown during checkout that shows the fee allocation 3. If your federal refund might be delayed (due to credits like EITC or CTC), ask about their backup plan 4. Consider paying upfront if you need certainty about your refund amounts for budgeting Thanks to everyone who shared their experiences - this thread is going to be super helpful for anyone navigating H&R Block's fee structure!

I've been using H&R Block for the past 3 years and can confirm they consistently take their fees from federal refunds. In my experience, they're pretty upfront about this during the filing process - whether you're doing it online or in-person, they'll show you exactly how the fee deduction works before you finalize everything. One tip I'd add: if you're worried about timing or which refund they'll hit, you can always opt to pay their fee upfront with a credit card or bank transfer instead of using their Refund Transfer service. That way you get your full federal AND state refunds without any deductions. The choice is usually presented clearly during checkout, so you can decide what works better for your budget planning. The Refund Transfer option is convenient if you don't want to pay out of pocket, but paying upfront gives you more predictable refund amounts if that's important for your financial planning.

There's another angle here nobody's mentioned - the employer could be illegally classifying an employee as an independent contractor to begin with. If your friend works regular hours, uses their equipment, follows their specific instructions on how to do the work, etc., he might legally be an employee regardless of what they're calling him. In that case, they owe a lot more than just a 1099 - they owe proper withholding, unemployment insurance, possibly benefits, etc.

This situation is unfortunately more common than it should be. The employer benefits in several ways by not issuing 1099s: they avoid reporting the payments to the IRS (which could trigger scrutiny of their own tax situation), they don't have to deal with the administrative burden of proper tax reporting, and they may be trying to keep these payments "off the books" entirely. What's particularly concerning is that $40k annually puts your friend well above the $600 threshold where a 1099-NEC is absolutely required. The employer is definitely breaking federal tax law. They could face penalties of up to $280 per unfiled form, plus potential criminal charges for willful failure to file. Your friend should seriously consider documenting everything - keep copies of all checks, bank deposits, any written agreements about work duties, and correspondence about the missing tax forms. Even without a 1099, he's legally required to report this income on Schedule C and pay self-employment taxes. But having detailed records will protect him if the IRS ever questions the unreported income on the employer's side. The family is essentially gambling that they won't get caught, but tax evasion has a way of catching up with people, especially when dealing with substantial amounts like $40k annually.

I went through almost the exact same situation two years ago. One crucial thing to keep in mind is that even though his name is on the mortgage, the IRS looks at who actually made the payments when determining who can claim the deductions. Since you have a court order giving you exclusive possession and you've been making all payments from your individual account since April, you have a strong case for claiming those deductions for the period after separation. For the joint payments made January-March, you'd typically divide based on your contribution percentage to that joint account (your 35%). Also, definitely explore the Head of Household filing status that others mentioned - it can save you significant money compared to married filing separately. The combination of HOH status plus claiming the mortgage interest and property tax deductions you actually paid could result in substantial tax savings. Keep detailed records of every payment you've made since the separation. Bank statements, online payment confirmations, everything. This documentation will be invaluable if there are any disputes or if the IRS has questions later.

I'm going through a very similar situation right now and this thread has been incredibly helpful! One thing I wanted to add based on my recent experience with my tax attorney - make sure you also consider the timing of when your protection order was issued versus when expenses were paid. Since you got the emergency protection order right away and the sheriff formally removed him by April 8th, you have strong legal documentation showing when your exclusive possession began. This creates a clear timeline that supports your position for claiming deductions on expenses you paid after that date. My attorney also advised me to keep a simple log showing not just what I paid, but when the legal separation occurred, because the IRS recognizes court-ordered separation as establishing separate households even before divorce finalization. This can be crucial for both the deduction allocations and the Head of Household filing status others mentioned. The stress of dealing with taxes on top of everything else during divorce is overwhelming, but having that court order really strengthens your position. Document everything and don't let him intimidate you into giving up deductions you're legally entitled to claim!