I think everyone is overcomplicating this. We just bought a 2024 F-350 diesel for our construction business for $94k. Our accountant recommended we take the full amount as a Section 179 deduction since we're having a very profitable year. She said we can still deduct ALL operational expenses (fuel, maintenance, insurance, etc.) regardless of how we handled the initial purchase price. The only requirement is that we use it 100% for business, which we do. We have separate personal vehicles.

Great discussion here! As someone who's been through this exact situation with multiple heavy truck purchases, I'd add a few practical considerations: 1. **Cash flow timing** - If you're profitable this year but uncertain about next year's income, taking the full Section 179 deduction now might be smart. But if you expect steady or growing profits, spreading it out could be better. 2. **State tax implications** - Don't forget that some states don't follow federal Section 179 rules exactly. Make sure to check how your state handles these deductions. 3. **Equipment financing** - If you're financing the truck, you can still claim Section 179 on the full purchase price even though you're making payments over time. 4. **Alternative Minimum Tax (AMT)** - For some businesses, large Section 179 deductions can trigger AMT issues, though this is less common with the current tax law. The key is matching your deduction strategy to your specific business situation. What works for one construction company might not be optimal for another, even with similar truck purchases. Also, keep excellent records of business use from day one - GPS logs, job site documentation, etc. The IRS loves to scrutinize vehicle deductions, especially on expensive trucks.

Just to clarify something that might be confusing from the other responses - you absolutely DO need to report that $1,200 as taxable income on your federal return, regardless of whether you itemize deductions or take the standard deduction. The gambling winnings get reported as "Other Income" on your 1040. The loss deduction piece is separate and optional - you can only deduct gambling losses if you itemize deductions AND only up to the amount of your winnings. So if you normally take the standard deduction (which most people do), you'd pay taxes on the full $1,200 and wouldn't be able to deduct that $300 loss. Make sure you received the W-2G form from the casino when you collected your winnings - they're required to give it to you at the time of payout for slot wins of $1,200 or more. You'll need that form to complete your tax return. If you didn't get it or lost it, contact the casino's player services department to get a copy.

One thing that helped me when I was in a similar situation was keeping track of the exact time and date of both my losses and winnings during that casino visit. Since you mentioned losing $300 before hitting the $1,200 jackpot all in the same trip, you might want to check if your player's club card tracked those transactions automatically. Many casinos keep detailed records of your play when you use their rewards card, and you can often request a win/loss statement from them that shows all your activity for that day. This can serve as official documentation for both your winnings and losses, which is really helpful if you do decide to itemize deductions. Even if you end up taking the standard deduction, having that documentation is good to keep for your records in case the IRS ever has questions about your return. Also, don't forget that if any taxes were withheld from your winnings (which sometimes happens on larger jackpots), that information should be on your W-2G form and you can claim those withholdings as payments made toward your tax liability.

This is such a comprehensive discussion! As someone who went through a similar situation (spouse in dental school), I wanted to add one more consideration that saved us money: **Roth IRA contributions**. Since your wife has no earned income, she can't contribute to a Roth IRA on her own. But if you file jointly, she becomes eligible to make a spousal Roth IRA contribution (up to $7,000 for 2024) based on your earned income. This could be a great way to get some tax-advantaged retirement savings started for her, especially since she's likely in a very low tax bracket now compared to what she'll be earning as a physician. The income limits for Roth IRA contributions are also much more favorable when filing jointly vs. separately. For 2024, the phase-out starts at $230,000 for married filing jointly but only $0-$10,000 for married filing separately (which essentially eliminates the option if you file separately). Given that physicians often have limited time and options for retirement savings during residency due to lower income and long hours, getting an early start now while you have the tax advantages of filing jointly could really pay off in the long run. Plus, since Roth contributions are after-tax, she could potentially access those contributions (not earnings) penalty-free if needed during residency for emergency expenses. Just another factor to throw into your decision matrix!

This has been such a helpful thread! I'm in a very similar situation - working full-time while my husband is in his first year of medical school. Reading through all these responses has really opened my eyes to how many factors need to be considered beyond just this year's tax return. The point about spousal Roth IRA contributions is brilliant - I hadn't even thought about the retirement planning aspect, but you're absolutely right that this is probably the lowest tax bracket my husband will ever be in. Starting those contributions now while filing jointly could be huge for long-term wealth building. I'm also really intrigued by the tools people mentioned for analyzing the filing status decision. It sounds like there are resources that can model out multi-year scenarios including student loan payments, which is exactly what we need since the financial picture changes so dramatically from medical school to residency to attending physician. One question for those who have been through this - did you find that your optimal filing strategy changed over the years? Like, did you file jointly during medical school but then switch to separately during residency for PSLF purposes? I'm trying to think ahead since we'll probably be dealing with these decisions for the next 6-7 years through his training. Thanks everyone for such thorough and thoughtful responses!

One thing to consider that might be causing the discrepancy - are you including any investment income in your calculations? Even small amounts of interest, dividends, or capital gains (minus your capital loss carryover) need to be included in MAGI. TurboTax might be accounting for some investment income that you're not including in your manual calculation. Check if you received any 1099-INT or 1099-DIV forms from banks or investment accounts. Even $500 in dividend income could push you over the threshold in your situation. Also, if you had any side gig or freelance income (even small amounts), that would count toward your MAGI as well. Worth double-checking!

Has anyone here actually successfully claimed the used EV credit? I'm considering buying a used EV this year but worried about the MAGI limits since I'm right around that threshold too.

This is why I never pay for tax software until I'm ready to file. I always use the free version to input everything, then only upgrade at the very end if I need to. That way if there are issues, I haven't spent any money yet. TaxAct worked fine for me last year but I'm avoiding them this year after seeing so many complaints.

I work in tech support and this sounds like a classic case of server overload during peak tax season rather than a company going out of business. TaxAct is definitely still operational - they're a publicly traded company and any closure would require SEC filings and major announcements. The script errors you're experiencing are likely due to their servers being overwhelmed with traffic. Tax software companies often underestimate the load during crunch time (especially in the final weeks before the deadline). The support page errors are probably related to the same infrastructure issues. Here's what I'd suggest: 1) Try accessing the software during off-peak hours (early morning or late evening), 2) Use a different browser or incognito/private mode, 3) Clear your browser cache and disable extensions, 4) Call their phone support at 319-373-3600 - phone systems usually stay up even when web services are down. If you paid by credit card, you can always dispute the charge if the product remains unusable. But I'd give the phone support a try first - they should be able to either get you working or process a refund.