Another thing to check - if you've recently moved, make sure your address matches what the IRS has on file. Sometimes address mismatches can trigger name/SSN verification issues too. You can verify your address with the IRS by calling their automated line at 1-800-829-1040. Also, if you're using tax software, try filing again with your full legal name exactly as it appears on your SS card - character for character, including any punctuation.

Had this exact same issue last month! Turned out I had been using "Jr." on my tax return but my actual SS card doesn't have the suffix on it. The IRS system is super picky about matching character-for-character. Also worth noting - if you've been married/divorced recently and haven't updated your name with SSA yet, you'll need to do that first and wait about 2 weeks before the IRS system updates. You can also try calling the IRS Practitioner Priority Service at 1-866-860-4259 to verify what name they have on file for your SSN.

Anyone know if TaxAct has a way to see if it was actually transmitted to the IRS beyond just the email? I'm in the same boat, filed 2 weeks ago and still pending!

I went through this exact same worry last month! Filed with TaxAct and it stayed "pending" for almost 2 weeks. What really helped calm my nerves was understanding that "pending" doesn't mean there's a problem - it just means the IRS hasn't finished processing yet. The key thing to remember is that your filing date is locked in when you hit submit in TaxAct, not when the IRS finishes processing. So even if it's still pending after May 17th, you're not late as long as you submitted before the deadline. I'd suggest checking the IRS "Where's My Refund" tool - it often shows acceptance before the tax software updates. And definitely don't file a paper copy unless you get an actual rejection notice. Duplicate filings can create way more headaches than just waiting for the electronic processing to finish. Hang in there - the waiting is the worst part, but TaxAct is reliable and your return is almost certainly fine!

One thing to consider that I haven't seen mentioned - Public Law 86-272 provides some protection from state income taxes for certain businesses, but it typically doesn't apply to service businesses like digital agencies. It only protects sellers of tangible personal property. This caught me by surprise last year when my accountant explained why my SaaS business couldn't use this protection despite having no physical presence in many states where we had customers.

This thread has been incredibly helpful! As someone who just started expanding my freelance digital consulting business beyond my home state, I had no idea the complexity I was walking into. I've been putting off addressing this because it seemed so overwhelming, but reading everyone's experiences makes it clear I need to tackle this sooner rather than later. The voluntary disclosure programs mentioned sound like a lifeline for those of us who may have inadvertently created nexus already. One question I haven't seen addressed - for those of you who went through the multi-state compliance process, how did you handle ongoing compliance? Are you now filing quarterly estimates in multiple states, or do most states allow annual filings for smaller service businesses? The administrative burden of maintaining compliance in multiple jurisdictions seems almost as daunting as figuring out the initial requirements.

Just wanted to chime in as someone who's been through this exact situation with my small construction business. Yes, you can absolutely deduct your iPhone as a business expense for your LLC! Since you're using it for legitimate business activities like customer calls, posting ads, and managing operations, the IRS considers this a valid deduction. The percentage calculation doesn't have to be overwhelming - I kept a simple log for about 3 weeks noting business vs personal usage and found I was using my phone about 75% for business. Now I deduct that percentage of both the phone cost and monthly service bills. One thing that really helped me was setting up a separate business Apple ID for work-related apps and downloads. It makes it easier to track business usage and adds another layer of documentation. Also, since you mentioned using your business credit card for the purchase - that's perfect! It creates a clean paper trail. Keep your receipts, document your usage pattern, and you should be all set. The IRS is pretty reasonable about mixed-use items like phones as long as you have a legitimate business purpose and reasonable documentation to back up your percentage.

Absolutely! Your iPhone is definitely deductible as a business expense for your LLC. Since you're using it for legitimate business activities like customer calls, posting ads, managing payroll, and photographing inventory, the IRS recognizes this as a valid business deduction. The key is determining what percentage is business vs personal use. You don't need to track every single interaction - just make a reasonable estimate based on your typical usage patterns. For a used RV dealership where you're constantly communicating with customers and managing operations, your business percentage is probably quite high. I'd recommend keeping a simple log for 2-3 weeks to establish your business usage pattern. Track things like business calls, time spent on work-related apps, posting ads, taking inventory photos, etc. Many small business owners are surprised to find they use their phones 70-80% for business once they actually document it. Since you mentioned using your business credit card for the purchase, that's perfect - it creates a clean paper trail. Remember that this deduction applies to both the initial iPhone purchase and your ongoing monthly service bills. Just multiply your total phone costs by your business use percentage. Keep good records of receipts and your usage documentation. The IRS is generally reasonable about mixed-use items like phones as long as you have legitimate business purposes and can support your percentage calculation.

I'm going through something similar right now with my grandmother's estate. Got a CP2000 notice about 8 months after she passed for a missing 1099-B from some stock sales. The amount they're claiming is around $4,300. What's been helpful for me is understanding that this is actually pretty common - the IRS systems don't automatically know when someone passes away, so these notices can keep generating for months or even years after death. The key thing I learned from my estate attorney is that your personal liability as executor is very limited as long as you acted in good faith. Since you mentioned the estate was already settled without probate, that suggests it was a smaller estate that qualified for simplified procedures. In most states, if you distributed assets to beneficiaries without knowing about this tax debt, you're protected under "good faith executor" provisions. I'd definitely recommend responding to the notice rather than ignoring it, even though it's stressful. Include a copy of the death certificate and a simple letter explaining that the estate has been closed and distributed. Most of the time, the IRS will just close these cases when they realize there are no assets left to collect from. The peace of mind from handling it properly is worth the effort, and it protects you from any potential complications down the road.

I'm dealing with a very similar situation and want to share what I've learned from my experience and research. When my uncle passed last year, we received a CP2000 notice about 10 months later for approximately $8,200 in unreported income from a 1099-MISC we never received. The most important thing to understand is that the IRS has specific procedures for deceased taxpayers, and as an executor, you have certain protections under tax law. Here's what I discovered: 1. **Personal Liability Protection**: As long as you distributed estate assets in good faith without knowledge of the tax liability, you're generally protected from personal liability under IRC Section 6901. The key word is "knowledge" - if you didn't know about this debt when you closed the estate, you're typically not personally responsible. 2. **Proper Response**: Don't ignore the notice. Respond within the timeframe specified (usually 30 days) with a letter explaining that the taxpayer is deceased, the estate has been closed and distributed, and there are no remaining assets. Include a certified copy of the death certificate. 3. **Form 56**: Consider filing Form 56 to officially notify the IRS of your role as executor and that the fiduciary relationship has ended. This creates an official record that can protect you. 4. **Documentation**: Keep records of everything - when your father passed, when the estate was distributed, when you received the CP2000, and all correspondence with the IRS. In my case, after sending the proper documentation via certified mail, the IRS placed the account in "currently not collectible" status within about 8 weeks. The peace of mind was absolutely worth taking the time to respond properly rather than hoping it would just go away. You're not alone in this - these situations are more common than you might think, and the IRS does have procedures to handle them appropriately.