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I'm going through the exact same thing right now! Filed Feb 11th, accepted Feb 14th, and I've had that "Action Required" message for almost 3 weeks. It's so maddening that they can't just tell us what they need instead of this vague message followed by waiting weeks for a letter. I finally broke down and checked my transcript yesterday using the IRS website, and it showed some codes that I couldn't decipher. Someone mentioned taxr.ai earlier in this thread so I gave it a try - turns out I have an identity verification flag on my account. At least now I know what's causing the delay instead of just sitting here wondering. The worst part is that the IRS website makes it sound like this review process is quick, but from what everyone is saying here it can take months. Really hoping my letter arrives soon so I can get this sorted out. Hang in there - sounds like most people eventually get their refunds once they complete whatever verification the IRS needs!
Ugh, I feel your pain! I'm also stuck in this same nightmare - filed Feb 9th and have been staring at that "Action Required" message for what feels like forever. It's so ridiculous that in 2025 the IRS can't just send us an email or text telling us exactly what they need instead of making us wait weeks for snail mail. I'm definitely going to try checking my transcript and that taxr.ai thing you mentioned - at this point I just want to know SOMETHING about what's going on with my return. Thanks for sharing what you found out, it gives me hope that I can at least figure out what's causing my delay too!
I'm dealing with this exact same frustrating situation! Filed on Feb 9th, accepted Feb 12th, and I've been stuck with that vague "Action Required" message for over 3 weeks now. No letter in the mail yet either. What's really annoying is how unhelpful that message is - they basically say "we might need something from you" but give zero specifics about what or when. I've been checking my mailbox religiously every day hoping for some actual information. Based on what everyone here is saying, it sounds like this is unfortunately super common this tax season. I'm planning to check my transcript this weekend to see if I can get any clues about what's causing the hold-up. The waiting is absolutely brutal when you're counting on that money for bills and expenses. Thanks for posting about this - it's oddly comforting to know so many others are in the same boat. Hopefully we all get our answers (and refunds!) soon!
I'm going through the exact same thing! Filed Feb 8th, accepted Feb 11th, and I've been stuck with that "Action Required" message for nearly a month now. It's so frustrating that they can't just tell us upfront what they need instead of this cryptic message followed by weeks of waiting for a letter that might not even come. I've started checking my transcript weekly and it shows some review codes, but honestly the IRS codes are like reading a foreign language. At least knowing other people are dealing with this makes me feel less alone - misery loves company I guess! š Hopefully we all get our refunds soon!
The residential clean energy credit is non-refundable right? So if your tax liability is already zero after other credits, does this even matter? Or am i understanding it wrong?
@Chloe Martin That is incorrect information. Here is what the IRS website says: Q1. May a taxpayer carry forward an unused credit to a later taxable year? updated (Jan. 17, 2025 A1.) No. A taxpayer may not carry the credit forward. Thus, if a taxpayer does not have sufficient tax liability to claim all or a portion of the credit for a taxable year, the unused amount of the credit may never be claimed.
@Barbara R Thanks for sharing that IRS guidance about not being able to carry forward unused Residential Clean Energy Credits. You re'right that the credit can t'be carried forward, which makes the circular reference problem in the original post even more frustrating! The original issue was about the seemingly impossible loop in the instructions where Form 5695 points to worksheets that eventually point back to the very credit being calculated. This circular reference makes it really challenging to correctly calculate the credit amount in the first place, let alone determine if there s'any unused portion. I use taxr.ai to get my dates and information on credits like this. It was pretty accurate and helped me navigate some of these confusing IRS instructions. In my experience, the Residential Clean Energy Credit can be substantial if you ve'made qualifying improvements, but the calculation process is unnecessarily complex. The worksheet maze seems designed to limit how much credit you can claim based on your tax liability, which aligns with what you re'pointing out about not being able to carry forward unused amounts.
I just went through this exact same nightmare with Form 5695 last week! The circular reference between the worksheets is absolutely maddening. What finally worked for me was ignoring the instructions temporarily and calculating everything in this order: 1. First, calculate your gross Residential Clean Energy Credit on Form 5695 lines 1-13 without any limitations 2. Use that preliminary amount when you get to the worksheets that ask for it 3. Complete all the limitation calculations 4. Go back and apply the final limitation to your Form 5695 The key insight is that the "amount from Residential Clean Energy Credit" they're asking for in the worksheets is meant to be your preliminary/gross amount, not your final limited amount. The IRS instructions make this sound circular, but it's really an iterative process. I also found it helpful to use scratch paper to track my preliminary vs. final amounts so I didn't get confused about which number to use where. The whole system is poorly designed, but once you understand the sequence it does work out.
I'm in a very similar situation with back taxes from 2019-2021 totaling around $38k that got transferred to CBE Group. One thing that really helped me understand my options was getting a free consultation with a tax attorney through my local bar association's referral service. The attorney explained that while CBE can't directly garnish wages like the IRS can, they will likely try to get you to agree to a payment plan that might be more than you can actually afford. If you can't make those payments, they'll send it back to the IRS who then has all their collection powers available. Given that you've been unemployed for a year, you should definitely look into Currently Not Collectible status before you start working again. The IRS considers your current financial situation, not your future earning potential. If you qualify for CNC status while unemployed, it could buy you time to get back on your feet financially before having to deal with payments or garnishments. Also, don't let CBE pressure you into a payment plan immediately. You have rights and options - take time to understand them all before committing to anything.
This is really solid advice about getting the free consultation through the bar association. I didn't know that was even an option. How did you find your local bar association's referral service? Is this something available in most areas or just certain states? And did the attorney give you specific guidance on how to apply for Currently Not Collectible status, or did you have to figure that part out on your own?
I've been dealing with a similar situation with CBE Group for the past 8 months, so I wanted to share what I've learned. First, you're right to be concerned about wage garnishment, but the good news is that CBE cannot directly garnish your wages like the IRS can. They would need to return your case to the IRS first. One thing that really helped me was understanding the timeline. CBE typically works accounts for about 2 years before potentially returning them to the IRS. During that time, they can only offer payment plans - they can't approve offers in compromise, currently not collectible status, or other collection alternatives. Since you've been unemployed for almost a year, I'd strongly recommend applying for Currently Not Collectible status directly with the IRS before you start working. You'll need to complete Form 433-F and provide documentation of your financial hardship. The key is to get this status while your income is still low, because once you start earning again, it becomes much harder to qualify. Also, keep detailed records of all communications with CBE. They're required to follow specific procedures, and if they don't, you can file complaints. Don't let them pressure you into a payment plan you can't sustain - that just sets you up for failure and eventual return to IRS enforcement actions. The most important thing is to stay proactive. Ignoring the situation only makes it worse and limits your options down the road.
This is such a timely post for me! I just had my first big casino win last month ($7,500 on a progressive slot) and was totally unprepared for the tax implications. The casino did withhold the 24% federal tax, but I had no idea that wasn't the end of it. What really caught me off guard was learning that ALL my gambling winnings for the year need to be reported, not just the ones where taxes were withheld. I had several smaller wins throughout the year that I completely forgot about until I started reading up on this stuff. Now I'm scrambling to piece together all my casino visits and trying to figure out what I actually won vs lost. The good news is that since my regular income is pretty modest, the additional gambling income won't push me into a higher bracket where I'd owe significantly more than what was already withheld. But lesson learned - next time I'm keeping much better records from day one!
Congratulations on the big win! That's exactly the kind of situation where having good documentation becomes crucial. Since you mentioned scrambling to piece together your casino visits, here's a tip that might help: most casinos can provide you with a win/loss statement for the year if you used your player's card consistently. Even if you didn't use it every time, it's worth requesting - it might capture more activity than you remember. Also, don't stress too much about the smaller wins you forgot about. As long as you make a good faith effort to report what you can reasonably reconstruct, the IRS generally appreciates honesty over perfection. Just document your process for how you estimated any missing amounts. Better to report something than nothing at all!
Great breakdown from everyone here! As someone who learned this the hard way, I want to emphasize one crucial point that often gets overlooked: estimated quarterly payments. If your gambling winnings are substantial enough that the 24% withholding won't cover your total tax liability, you may need to make estimated tax payments to avoid underpayment penalties. This is especially important if gambling isn't your main source of income and you don't have other withholdings to cover the gap. The IRS expects you to pay taxes as you earn income throughout the year, not just when you file. So if you hit a big jackpot early in the year and know you'll owe more than what was withheld, consider making quarterly payments. The safe harbor rule is generally to pay 100% of last year's tax liability (or 110% if your prior year AGI was over $150k) to avoid penalties, but with gambling winnings throwing off your usual income, it's worth calculating what you actually owe. I learned this after winning big in February and then getting hit with underpayment penalties despite having taxes withheld at the casino. Now I always set aside extra money from any big wins to cover the additional tax liability and make quarterly payments if needed.
This is such valuable advice! I wish I had known about the quarterly payment requirement before my big win. I'm actually in a similar situation now - won $12k at blackjack back in March and they withheld the 24%, but based on what everyone's saying here about it being added to regular income, I'm definitely going to owe more. Quick question though - do you know if there's a minimum threshold for when you need to worry about underpayment penalties? Like if I only owe an extra $500 beyond what was withheld, is that going to trigger penalties? I'm trying to figure out if I need to scramble to make a Q4 payment or if I can just pay the difference when I file.
Yuki Tanaka
If you actually want to talk to the irs, use a calling service. I used claimyr.com and it was so much better than the literal days of my life I've wasted trying to reach them myself. It only took about 30 mins to get a person on the line who actually was helpful and told me exactly what the issue was with my return and how to fix it.
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Malik Davis
This verification of non-filing notice can definitely be confusing, especially when you know you filed! A few things to consider: 1. The timing suggests your return might still be in the processing queue when someone (likely a lender, school, or benefit agency) requested verification of your filing status. Since you filed in February and the verification was requested in early March, there could be a processing delay. 2. Check your IRS account online to see if your return shows up as "received" or if there are any processing holds (codes like 570 or 971). 3. Since you mentioned getting acceptance from TurboTax within 24 hours, that's a good sign - but acceptance just means it passed initial validation, not that it's fully processed. 4. The tracking ID format (starting with 10758) might indicate which type of entity requested the verification, but that's not something to worry about. My recommendation: Call the official IRS number (800-829-1040) to verify your return was received and ask about any processing delays. Don't use any numbers from the notice itself - always call the main IRS line. If you can't get through after several attempts, some people have had success with calling services that help navigate the phone system. This is likely just a timing issue rather than anything fraudulent, but it's worth confirming with the IRS directly.
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