Has anyone used TurboTax for this dual-status election situation? Their support chat keeps giving me contradictory answers and I'm not sure if their software can handle this correctly.

This is exactly the kind of complex tax situation that mainstream software struggles with! I went through something very similar when I got my green card mid-year in 2022. The dual-status election is definitely legitimate and designed for cases like yours, but you're right to be cautious about the worldwide income reporting requirement. One thing I learned the hard way is that you need to be extra careful about foreign bank account reporting (FBAR) if you still have accounts overseas - even if they're being closed out. Also, make sure you understand the implications for future years. Once you make this election, you're committing to being treated as a full-year resident, which can affect things like the foreign earned income exclusion if you travel back to your home country for work in future tax years. I'd strongly recommend getting at least a consultation with a CPA who specializes in international taxation before filing, even if you use software to prepare the return. The peace of mind is worth it for something this complex, especially in your first year as residents.

Has anyone dealt with state tax withholding as an NRA? My federal is correct now (using regular rates for ECI), but my California state withholding seems off. Do states follow the same ECI rules as federal?

Just wanted to add my experience as someone who went through this exact situation last year. I'm on an H-1B visa and was classified as an NRA for tax purposes since I didn't meet the SPT. The key thing to understand is that your work authorization visa status is completely separate from your tax residence status. Even though you're an NRA, your wages are still Effectively Connected Income (ECI) because you're physically performing services in the US under a valid work visa. One thing I'd recommend is asking your HR to consult with their payroll provider or tax advisor. Many companies use ADP, Paychex, etc., and these providers usually have specialists who understand NRA withholding rules. My company initially wanted to withhold at 30%, but after their payroll consultant confirmed the ECI rules, they switched to normal progressive withholding. Also, make sure you're prepared to file Form 1040NR instead of the regular 1040 at tax time, even though your withholding follows regular rates. The filing requirements are different for NRAs even when the withholding rates are the same.

I'm so confused about this whole thing. My daughter's college is asking for a 2024 non-filing verification, but when I called the IRS they said I can only get a letter for 2023 or earlier years right now. How can they ask for something that doesn't exist yet??? Is everyone in financial aid just confused about which tax year they actually need??

Just wanted to share another tip that helped me - if you're having trouble with the online IRS verification system, try clearing your browser cache and cookies completely, then try again. I was getting weird errors for weeks until I did this. Also, make sure you're using the exact same name format that's on your Social Security card - even small differences like "Jr." vs "Junior" can cause the system to reject your identity verification. If you're still stuck after trying all the suggestions here, consider reaching out to your local VITA (Volunteer Income Tax Assistance) site. They often have direct contacts at the IRS and can sometimes help expedite these requests for students facing financial aid deadlines. Many colleges also have VITA programs right on campus during tax season. Don't give up - I know it's frustrating but there are definitely ways to get this sorted out!

Has anyone tried using tax software like TurboTax or H&R Block for situations like this? I had a similar issue last year and TurboTax had an option for "I didn't receive my 1098" that walked me through estimating my mortgage interest.

I went through something very similar when my mortgage servicer got bought out mid-year and the old company basically vanished. Here's what worked for me: 1. **Check your closing documents** - Your original mortgage paperwork should have the loan amount, interest rate, and start date. You can use an online mortgage calculator to figure out exactly how much interest you paid each month. 2. **Look for automatic payment confirmations** - If you had autopay set up, your email should have confirmation receipts that show the breakdown of principal vs interest for each payment. 3. **Contact your new servicer again** - HomeSecure should have received your complete loan history when they took over. They might be able to generate a year-end interest statement even if they can't get the official 1098 from the old company. 4. **File Form 4852** - This is the "Substitute for Form W-2, Form 1099-R, or Form 1098" that the IRS provides exactly for situations like this. You attach it to your return along with documentation showing you tried to get the original form. The key is having reasonable documentation of your attempts to get the form and using the best available information to calculate your deduction. The IRS understands that companies go under and records get lost - they just want to see you made a good faith effort to be accurate.

Depends on if you got any 'special' codes. Mine got the infamous 570 and now im stuck in verification hell

Been in the same boat! Filed 2 weeks ago and just got my first transcript update yesterday. Like others said, Friday mornings seem to be when most updates happen. Don't stress too much about checking daily - the IRS moves at their own pace regardless of how often we refresh that page 😅