10 Does anyone know if the rules are different for minors with crypto? I'm wondering because OP is 18 now but might have been 17 when the transaction happened depending on timing.

Don't stress about this at all! You're definitely not required to file a tax return in your situation. With no income and just a tiny crypto loss, you're way below any filing thresholds. The Coinbase email is just a standard notice they have to send to everyone - it doesn't mean you personally need to do anything. Since you actually lost money (even though it was only 15 cents), there's no tax liability anyway. As a student with no income, you won't need to worry about filing taxes until you start earning above the standard deduction amount or have significant investment gains. Your $1.35 Bitcoin experiment definitely doesn't qualify! Save that email for your records if you want, but you can relax about any immediate tax obligations.

One thing to remember about the PATH Act holds - they affect ALL returns with EITC/ACTC, even if you've been filing the same way for years without issues. The 570 code is just this year's way of marking returns subject to the hold. The first refunds for PATH Act returns won't go out until February 15th at the earliest, and many will be a few days after that. It's annoying but it's just how they try to prevent fraudulent claims.

I just wanted to thank everyone who contributed to this thread - it's been incredibly helpful! I was panicking when I saw that 570 code for the first time, but reading through all your experiences has put my mind at ease. It sounds like this is just the new normal for PATH Act filers this year. For anyone else in the same boat, here's what I learned from this discussion: the 570 code is likely just an automatic hold for EITC/ACTC returns, not a sign of problems with your return. Most people seem to see it clear around mid-February with a 571 code, followed by the actual refund date (846 code). The transcript is definitely more reliable than the Where's My Refund tool for tracking what's actually happening. I'm going to check my transcript again next week to see if there are any updates. Thanks again everyone for sharing your knowledge and experiences!

I actually work at a tax preparation firm and deal with backup withholding issues regularly. One thing I'd add that hasn't been mentioned is that you should also check if you received any CP2025 or CP2025A notices in the mail - these are the specific IRS notices that confirm backup withholding has been removed from your account. If you did receive one of these notices but misplaced it, you can request a duplicate by calling the IRS and asking for a "copy of backup withholding removal notice CP2025." This is often easier than requesting other types of documentation since it's a standardized form. Also, regarding the timeline - the IRS typically takes 4-6 weeks after you've satisfied all filing requirements to process the backup withholding removal. However, I've seen cases where it takes longer if there were multiple years of non-compliance or if there are other unresolved issues on your account. One pro tip: when you do get the removal documentation, I recommend sending it to clients via certified mail or email with read receipt. Some clients are slow to update their payroll systems, and having proof of delivery helps if you need to follow up. The 24% withholding really adds up, so it's worth being proactive about getting this resolved quickly!

I'm going through almost the exact same thing right now! Filed my late returns about 6 months ago and paid everything off, but I'm still getting 24% withheld from some clients while others aren't withholding anything. It's so confusing and frustrating. Reading through all these responses has been incredibly helpful - I had no idea about the CP2025 notice or that I needed to specifically request documentation from the IRS. I just assumed it would be automatic once I was compliant. The fact that some clients might not have even received the original backup withholding notice explains why the withholding is so inconsistent across my client base. I'm definitely going to try calling and asking specifically for the "backup withholding department" and requesting a Statement of Account or CP2025 copy. If that doesn't work, the Taxpayer Assistance Center option sounds promising since I've had zero luck getting through on the phone so far. Has anyone had success with getting clients to stop withholding temporarily while waiting for the official IRS documentation? Or do they pretty much have to keep withholding until they get the official removal notice? I have a big project payment coming up next week and losing 24% of it would really hurt right now.

I went through this exact same situation two years ago with my daughter's EIC claim. The SEIC-F1040-506 error is incredibly frustrating because even though the amendment has been filed and accepted, the IRS systems don't communicate with each other in real time. What really helped me was calling the IRS Taxpayer Advocate Service (TAS) at 1-877-777-4778. They can sometimes expedite the processing of your return when there's a clear documentation trail showing the other parent filed an amendment to correct the duplicate claim. You'll need to have your ex's amendment confirmation number and be able to explain the timeline of events. Also, when you do paper file, make sure to write "DUPLICATE SSN - AMENDMENT FILED" in red ink at the top of your Form 1040. This helps the processing center understand immediately what's happening instead of your return sitting in a pile for weeks while they figure out the issue. The whole process is a nightmare, but with proper documentation and following up with TAS if needed, you should get it resolved within 8-10 weeks instead of the usual 16+ weeks for complicated amendments.

I'm dealing with a very similar situation right now! My ex-husband claimed our daughter on his EIC when it was my year according to our divorce decree. He filed an amended return last month to remove her, but I'm still getting the same SEIC-F1040-506 rejection. Reading through all these responses has been incredibly helpful. I think I'm going to try the Taxpayer Advocate Service route that Noah mentioned, since I have all the documentation (amendment confirmation, custody agreement, rejection notices). The idea of writing "DUPLICATE SSN - AMENDMENT FILED" in red ink on a paper return is genius - I never would have thought of that. Has anyone had success with TAS actually expediting these types of cases? I'm worried about waiting 8-10 weeks for processing since I really need my refund to catch up on some bills. The whole situation is so frustrating because we did everything right, but the IRS systems can't keep up with the reality of divorced parents trying to follow their custody agreements.

3 Has anyone ever just put the box, number 1 amount into boxes 3 and 5 when filing? I had a similar issue couple years ago and that's what my tax guy told me to do since that's typically what those boxes should match anyway. I didn't get audited or anything.

This is actually a pretty common issue with small businesses - I've seen it happen several times. Your instinct is right to be concerned about just putting zeros when you know taxes were withheld. Here's what I'd recommend: First, definitely contact your employer ASAP to request a corrected W-2 (Form W-2c). They're legally required to issue one when there are errors. In the meantime, gather your final paystub from 2024 - it should show your year-to-date totals for Social Security and Medicare wages and withholdings. If you can't wait for the corrected W-2, you can file Form 4852 (Substitute for Form W-2) using the correct information from your paystub. Just make sure to attach documentation explaining the discrepancy. The IRS would rather you report accurate information than what's on an incorrect W-2. Don't just copy Box 1 into Boxes 3 and 5 without verification - while they're often the same, there can be legitimate differences depending on your benefits and deductions. Check your paystub first to confirm the actual amounts.