Let me break this down for you comprehensively: First, DO NOT amend. Here's why: - You have an active freeze (810 code) - Your return is already processed (150 code) - You have pending credits (766 codes) The best approach is: 1. Keep monitoring your transcript weekly 2. Use taxr.ai to get a detailed analysis (seriously, it's amazing for understanding these codes) 3. Only call IRS if you see no movement after 60 days I deal with these issues daily, and amending during a freeze is like throwing gasoline on a fire. Just be patient and keep checking your transcript.

Code 810 freezes are incredibly frustrating but you're actually in a better position than many. The fact that your return processed (code 150) and you have credits scheduled for April 15th is promising. The freeze was likely triggered by income verification or credit eligibility checks - very common with refundable credits. Since your transcript shows April 15th dates, that's probably when the system expects to resolve the review. I'd suggest: - Check your transcript every Friday (that's when most updates post) - Don't call unless you see error codes or it's been 90+ days - Definitely don't amend - it'll just create more delays The waiting sucks but you're probably closer to resolution than you think. Most 810 freezes with scheduled credit dates like yours resolve within the timeframe shown on the transcript.

Check if your state has its own health insurance requirement! Federal penalty is gone but states like CA, MA, NJ, RI and DC still have their own penalties. TurboTax should ask which state you're in and apply the right rules.

Just to add some clarity for everyone - the federal individual mandate penalty was indeed eliminated starting in 2019, so there's no federal penalty for not having health insurance. However, if you live in California, Massachusetts, New Jersey, Rhode Island, or Washington DC, those states still have their own individual mandate penalties. Katherine, since you mentioned you're using TurboTax and it's asking about health insurance, you're likely in one of these states. The good news is that all of these states have hardship exemptions similar to what the federal system used to have, including exemptions for periods of unemployment. If you're in one of these penalty states, you should be able to claim a hardship exemption for the months you were unemployed (June through December). You typically don't need to get pre-approval - you can claim it directly on your return. Look for options related to "hardship," "financial hardship," or "unable to afford coverage" when TurboTax walks you through the exemptions. If you're not in one of these states, then there shouldn't be any penalty at all and TurboTax might just be asking for informational purposes.

I know someone who did this fake LLC thing for years and never got caught. The IRS is underfunded and overwhelmed - they audit less than 1% of returns. Just saying the risk might be lower than people are making it sound.

As someone who's been doing taxes professionally for over a decade, I want to emphasize that the enforcement landscape has changed dramatically in recent years. The IRS received significant additional funding specifically for enforcement activities, and they're using advanced data analytics to identify suspicious patterns in business deductions. What your clients are doing isn't just risky - it's creating a paper trail that practically screams "audit me." The IRS has sophisticated algorithms that flag returns with unusually high business expense ratios relative to income, especially for newly formed LLCs with minimal revenue but substantial deductions. My advice: Document your concerns in writing when you advise clients against questionable deductions. If they insist on proceeding against your professional advice, consider whether the relationship is worth the potential liability. The tax preparer penalties have gotten much more severe, and ignorance isn't a defense if you had reason to know the positions were unreasonable. The peace of mind of working with honest clients is worth more than the fees from problematic ones.

Pro tip: make sure u have all ur documents ready incase they send a letter asking for verification. Makes the process way faster

Code 424 is definitely stressful but you're not alone! I went through this last tax season and it ended up being routine verification. The waiting is the worst part but try not to panic. Keep checking your transcript weekly for updates and like others mentioned, have your documents ready just in case they request anything. Hang in there! 💪

Always efile yall. Paper returns are basically asking for trouble these days

I went through something similar last year and it was nerve-wracking! The key thing is that Letter 6201 showing "no return on file" for 2021 doesn't automatically mean your 2024 refund will be held up, especially since the report shows you have no outstanding tax debt. Before you panic, do what @QuantumQuest suggested - call the IRS first at 800-829-1040 to see if they can locate your 2021 return in their system. Sometimes returns get misprocessed or stuck in their backlog. Also check if you have your 2021 AGI (Adjusted Gross Income) saved somewhere - if the IRS processed your return, you should have been able to use that AGI to verify your identity when filing your 2022 return. If you did e-file in 2021, log into whatever software you used (TurboTax, H&R Block, etc.) and download your acceptance confirmation. That's golden proof that the IRS received your return electronically. The good news is that since you don't owe any money and have been compliant in other years, this looks more like an administrative mix-up than a serious compliance issue. Just document everything and stay on top of it!