Has anyone used a tax professional to help with claiming these education credits retroactively? I'm in a similar situation trying to remember which credits I used years ago but I'm worried about making mistakes.

One thing to keep in mind about the Texas Tomorrow Fund - since it's a prepaid tuition plan, you'll want to check if your parents received a 1099-Q form for the distributions used to pay your tuition. This would show the amount that was distributed from the plan to cover your education expenses. If the entire tuition amount was covered by the prepaid plan and reported on a 1099-Q, then those expenses generally can't be used again for education tax credits. However, you might still be eligible for credits based on other qualified expenses you paid out of pocket, like mandatory fees, books, or required course materials. Also, don't forget that you can amend returns for up to 3 years after the original filing date (or 2 years after you paid the tax, whichever is later). So if you discover you were eligible for credits in 2014/15 that you didn't claim, you might still be able to file amended returns for those years if they're within the statute of limitations.

Has anyone used any particular tax software that handles this 941 deduction well for small business owners? I tried using TurboTax Small Business last year and it was super confusing with my payroll taxes.

Great question! I just went through this exact situation with my LLC last year. Yes, the employer portion of your 941 payroll taxes is definitely deductible on Schedule C. Here's what I learned: You can deduct the employer's share of Social Security (6.2%), Medicare (1.45%), FUTA, and any state unemployment taxes you paid. For your $2,100 in quarterly taxes, a good chunk of that should be deductible - just make sure you're only counting the employer portion, not the employee withholdings. I put mine on Line 23 "Taxes and licenses" on Schedule C. One thing that helped me was creating a simple spreadsheet to track the employer vs employee portions each quarter, since the 941 form shows everything together. Your payroll service should be able to give you a breakdown if you don't already have one. Also, don't forget about any state payroll taxes you paid - those are deductible too if they're the employer portion. Just keep good records of all your payroll tax payments and forms in case the IRS ever asks for documentation.

11 Your sister may be in for a surprise. Venmo is owned by PayPal, and they've been cracking down on business transactions labeled as personal. They're getting better at detecting patterns that look like business activity even when marked as "friends and family." For 2025 taxes (covering 2024 income), payment apps are supposed to report to the IRS when someone receives over $600 in business transactions, not the old $20,000 threshold. So she might actually get a 1099-K even if she thinks she's flying under the radar.

Your sister is playing with fire here. I've seen this exact scenario play out badly for several people in my tax practice. The "friends and family" labeling on Venmo doesn't magically make business income disappear - it's still taxable regardless of how it's categorized or whether she receives a 1099. With $44k total income ($35k Venmo + $9k Rover), she's looking at roughly $6,200 in self-employment taxes alone, plus regular income tax on top of that. If she's in the 12% tax bracket, her total tax liability could easily be $8,000-10,000. The scariest part? Since she hasn't been making quarterly payments, she'll likely face underpayment penalties too. The IRS expects self-employed people to pay as they go, not wait until April. She needs to start setting aside money immediately and consider filing an amended return or voluntary disclosure if this has been going on for multiple years. The longer she waits, the worse the penalties get. I'd strongly recommend she consult with a tax professional ASAP - this isn't a DIY situation anymore.

Has anyone used a CPA with experience in identity theft cases? After reading all these comments, I'm still confused about whether to handle this myself or hire someone. I'm worried about making a mistake that could delay things even further.

I went through a very similar situation with my daughter's identity being stolen for tax purposes. One thing I learned that might help - when you call the IRS Identity Theft line at 800-908-4490, ask specifically for a "case trace" on your 2021 return. This will show you exactly what adjustments they made and why. For the dependent they incorrectly removed from your EIC calculation, you'll definitely need to file Form 1040X as others mentioned, but here's something important - include a cover letter that references your identity theft case number. This helps the IRS connect the two issues and can speed up processing. Regarding the Taxpayer Advocate Service (Form 911), absolutely do this ASAP. With $10K at stake and multiple years of back-and-forth, you clearly meet their criteria for "significant hardship." When filling out the form, be very specific about the financial impact this has had on your family. One more tip - if you do decide to hire professional help, look for an Enrolled Agent (EA) rather than just a regular tax preparer. EAs can represent you directly to the IRS and many specialize in complex cases like identity theft. They're often less expensive than CPAs but have the specialized knowledge you need. The interest calculation should apply to any additional refund amount from the original due date, so that's definitely something to pursue. Good luck - you're doing all the right things!

Please help. I already verified in person August 1st amd wmr tools charged from still being processed to being processed after verification August 7th and been stock on we received your refund and its being processed since after the verification, my transcript shows code 570 and 810 and I haven't receive any notice from the irs ever since I verified

Hey Gisselle! 🙋‍♀️ I totally feel your stress right now - those 570/971 codes can be so confusing after you've already done verification! But honestly, the fact that your transcript updated from N/A is actually really good news - it means you're back in their system and moving forward. So here's what those codes mean: 570 is basically the IRS saying "hold on, we're still reviewing something" and 971 means they've issued you a notice. Since you already verified, they're probably just doing their final checks - could be income verification, reviewing credits you claimed, or just standard post-verification processing. The timeline is super frustrating because it varies so much - I've seen people wait anywhere from 2-10 weeks after these codes show up. The notice should give you more details about what exactly they're looking at, so definitely keep an eye on your mailbox if you haven't gotten it yet. Keep checking your transcript weekly for any new movement - you're looking for that magical 846 code (refund issued) to eventually pop up! I know the waiting game is absolutely brutal, especially when you've already jumped through the verification hoops, but you're definitely on the right track. You've gotten through the hardest part already - hang in there! 💪✨