For anyone wondering, the prize tax rules are in IRS Publication 525. Contest winnings are considered "Other Income" and fully taxable at your normal income tax rate. This includes cash, goods, services, trips, cars, etc. You'll get a 1099-MISC if the value is $600+.

Great question about the fundamental fairness of our tax system! As someone who's dealt with prize winnings before, I think the current system exists because of how we define "income" - the IRS views any increase in your wealth as taxable income to you personally, regardless of the source. The reason companies don't pay the taxes upfront is that it would essentially double their cost. If they wanted to give away a "tax-free" $50,000 car, they'd actually need to give you enough cash to cover both the car value AND the taxes on that total amount. So they might end up paying $70,000+ total just to get you a $50,000 car after taxes. Your comparison to gifts is interesting though - gifts aren't taxable to the recipient because there's no "exchange" happening. With contests, you're typically doing something (entering, participating, etc.) in exchange for the chance to win, so it's treated more like compensation. I do think there could be better systems - some companies now offer cash alternatives specifically so winners can choose to take money instead of dealing with the non-cash prize tax burden. But changing the fundamental tax code would require major legislative action.

I'm experiencing the exact same thing! My transcript shows DDD for today with Chime and I've been checking my account religiously since 6am with no deposit yet. This is actually my second year using Chime for my refund, and last year I remember getting so anxious about the same delay - it didn't hit until almost 8pm on my DDD date. Reading through everyone's experiences here is bringing back those memories and really helping calm my nerves. It's so reassuring to see that @Olivia Kay and @Jibriel Kohn already received theirs today, just later in the day. I completely forgot that Chime processes these IRS deposits in batches throughout the day rather than all at once in the morning. The waiting is absolutely nerve-wracking, especially when you have bills due soon! Going to try my hardest to step away from constantly refreshing and check back around dinner time. Thanks everyone for sharing - it really helps to know this delay is totally normal and we're all going through this stressful waiting period together!

I'm going through the exact same situation right now! My transcript shows DDD for today with Chime and I've been checking my app constantly since this morning with absolutely nothing. This is my first year using Chime for my tax refund and I was starting to really worry that I somehow entered my account information incorrectly on my return. Reading through all these comments has been incredibly reassuring though - I had no idea that Chime processes IRS deposits in batches throughout the day rather than all at once! It's so encouraging to see that @Olivia Kay and @Jibriel Kohn both received theirs later today, and that this seems to be completely normal during tax season. The waiting is definitely anxiety-inducing when you're counting on that money, but now I understand it's just how their system works. Going to try my best to stop refreshing every few minutes and check back this evening. Thank you everyone for sharing your experiences - it really helps to know we're all going through this stressful waiting game together!

I completely agree with everyone saying to avoid those post-filing tax loans - they're financial traps! 🚨 Here's what worked for me when I was in a similar jam: I contacted my local credit union and explained the situation. They offered me a "tax refund bridge loan" at 12% APR, which I could get because I had proof my refund was approved and coming. Way better than those predatory lenders charging 100%+ interest! Also, if your grandson is really strapped, he should check if he qualifies for any emergency assistance programs in your area. Many community organizations, churches, and even utility companies have emergency funds for situations exactly like this. Sometimes a small grant or interest-free loan can tide you over until the refund hits. The key is to exhaust ALL other options before considering any high-interest "advances." Even borrowing from family/friends (with a written agreement) is usually better than these loan shark operations masquerading as helpful services.

I want to echo what others have said about avoiding those post-filing tax advance loans - they're absolutely predatory! 😤 One thing I haven't seen mentioned yet is that your grandson might want to check if his employer offers Emergency Assistance Programs (EAPs) or payroll advances. Many larger companies have these programs specifically for situations like car repairs or unexpected expenses. Even if it's just a small advance on his next paycheck, it could help bridge the gap until his refund arrives. Also, if he's comfortable sharing more details about what the money is needed for, there might be specific resources available. For example: - Car repairs: Some auto shops offer payment plans or work with local credit unions - Medical bills: Most providers will set up payment arrangements - Utilities: Many companies have hardship programs to prevent shutoffs The main thing is to avoid those high-interest "quick cash" places that target people waiting for tax refunds. They know you're in a bind and will charge accordingly. Better to ask for help from legitimate financial institutions or community resources than get trapped in that cycle! 💗

Anyone know if these carryover losses expire? I've been carrying some forward for a few years now and wondering if there's a time limit before I lose them.

I went through this exact same situation last year with my crypto losses from 2022. The confusion is totally understandable because it does feel like you're claiming the same deduction twice. Here's what I learned after consulting with a tax professional: You should enter the same capital loss carryover amounts on both your federal and state returns. This isn't double-dipping because you're filing two separate tax returns to two different taxing authorities (federal government and state government). California (which I saw you mentioned in the comments) does conform to federal capital loss treatment, so your carryover amounts should be the same on both returns. The key thing to remember is that your federal return calculates your federal tax liability, and your state return calculates your state tax liability - they're independent calculations that both happen to use the same underlying capital loss carryover. TurboTax should handle this correctly once you input the information. The software knows the state-specific rules and will apply them appropriately. Better to use the legitimate deduction you're entitled to than leave money on the table!

14 Be careful with mixing W-2 and 1099 work! I messed up last year and ended up owing WAY more than I expected. Make sure to use the Self-Employment Tax Calculator on the IRS website to estimate what you'll owe.

As a college student who just started mixing W-2 and gig work myself, I can't stress enough how important it is to track everything from day one! I made the mistake of not keeping receipts for my first month of delivery work and it was a nightmare trying to reconstruct my expenses. One thing that really helped me was opening a separate checking account just for my Doordash earnings. I deposit everything there and then transfer my estimated tax portion (about 30%) to a savings account immediately. This way I'm never tempted to spend my tax money and I always know exactly how much I've earned from gig work versus my regular job. Also, don't forget that as a student, you might still qualify for education credits even with the additional 1099 income - just make sure your total income doesn't push you out of eligibility ranges for things like the American Opportunity Tax Credit.