Just a heads up that all these tax prep companies are about to go into marketing overdrive with the new tax season approaching. I've started getting emails from TurboTax, H&R Block, AND TaxAct even though I only used one of them. They definitely share marketing lists.

This happens all the time! Tax prep companies cast a really wide net with their marketing. They purchase data from credit bureaus, marketing firms, and other sources to build their prospect lists. Sometimes they even get info from public records or data brokers that track tax filing patterns. The fact that they have your name and address doesn't necessarily mean they have access to your actual tax information - it's more likely they're working off demographic and financial data that suggests you're a tax filer in their target market. As others mentioned, just ignore it if you're happy with TurboTax, or call H&R Block directly (not using the number on the letter) if you want to opt out of their marketing.

I went through this exact same situation with Charles Schwab last year! As a US resident receiving both a 1042-S and 1099-DIV, here's what I learned after consulting with a tax professional: The 1042-S likely represents dividends from foreign securities held in your account where they applied non-resident withholding by mistake. Even though you're a US resident, sometimes the brokerage systems don't properly classify certain international dividend payments. Here's how I handled it in TurboTax: 1. Report the 1042-S income as dividend income on Schedule B (don't put it under "Other Income") 2. Make sure to claim the $265 withholding as federal tax paid - this is crucial! 3. Also report your 1099-DIV separately (the amounts should be different payments) 4. Double-check that you're not counting the same dividend twice by comparing dates and amounts The good news is that since you had $265 withheld at likely a higher non-resident rate, you'll probably get some of that back as a refund once the IRS processes your return with the correct resident tax rates. Definitely contact Morgan Stanley to fix your status for next year though - you shouldn't keep getting 1042-S forms as a US resident!

This thread has been incredibly helpful! I'm dealing with a similar situation with E*TRADE where I received both a 1042-S and 1099-DIV as a US resident. Based on all the great advice here, it sounds like the key steps are: 1. Report both forms as dividend income on Schedule B (not "Other Income") 2. Make absolutely sure to claim the withholding from the 1042-S as federal tax paid 3. Contact the brokerage to fix residency status for next year 4. Carefully check that no dividends are double-counted between the forms One question I still have - if anyone has experience with this - does it matter what order you enter these forms in your tax software? Should the 1042-S be entered before or after the 1099-DIV, or does it not make a difference as long as both are reported correctly? Thanks to everyone who shared their experiences, especially the detailed breakdowns from @Amara Adebayo and @Ellie Kim. This community is amazing for navigating these complex tax situations!

One thing nobody has mentioned yet - if you're donating significant amounts, look into the PATH Act provisions specifically for small farmers. There are enhanced deductions available in some cases that go beyond the regular charitable contribution rules. Also, be careful about the 15% limit - that's for C corporations. For individuals filing Schedule F, you're generally limited to your net income from the activity, though there are carryover provisions. Not a tax pro, just another farmer who's been down this road!

This is such a timely question! I'm dealing with the exact same situation on our small organic farm. One thing I learned the hard way is to make sure you're documenting the condition of your donated produce - the IRS wants to see that you're donating quality items, not just getting rid of culls or damaged goods. I keep a simple spreadsheet that tracks each donation with photos of the produce quality, our regular market prices that week, and copies of all food bank receipts. When we donated 200 lbs of heirloom tomatoes last month, I made sure to photograph them alongside our market price sign showing $4/lb for comparison. Also worth noting - if your food bank is part of a larger organization, make sure they're properly registered as a 501(c)(3). I had one small local pantry that wasn't properly registered and my accountant said those donations wouldn't qualify. Always ask for their tax-exempt documentation if you're unsure!

Does anyone have experience with state taxes when it comes to S-Corps vs LLCs? My accountant mentioned something about some states imposing franchise taxes or fees on S-Corps that don't apply to LLCs reporting on Schedule C.

The key factor everyone seems to be missing is timing and cash flow management. Yes, S-Corps can provide SE tax savings, but there's a hidden cost that hits many small businesses hard: you MUST run payroll every pay period, which means regular cash outflows for payroll taxes, even during slow months. With Schedule C, you pay estimated taxes quarterly based on your actual earnings. If you have a bad quarter, you can adjust. With S-Corp payroll, you're committed to that salary regardless of business performance. I've seen too many seasonal businesses struggle with this requirement. Also, the "reasonable salary" standard isn't just about avoiding audits - it affects your Social Security benefits calculation. If you artificially suppress your salary to minimize payroll taxes, you might be shortchanging your future retirement benefits. For younger entrepreneurs, this could mean giving up decades of higher Social Security payments to save a few thousand in current taxes. The math works great on paper, but real-world cash flow and long-term planning often tell a different story.

Another thing to consider is that even if you don't owe taxes, there might be credits you're eligible for that you can only get by filing. Like the Earned Income Tax Credit or education credits if you were in school. These can be worth thousands of dollars, but you have to file to claim them, even if you didn't have any tax withheld. Some tax credits are even refundable, meaning they can give you money back even if you didn't pay any taxes in. Don't leave that money on the table!

I forgot to file an extension last year and was freaking out, but since I was owed a refund it really wasn't a problem! The only thing that bit me was that I waited too long (like 4 years) to file one of my returns and lost out on like $800 refund. Dont be me lol.