What about HSA or FSA? Could you use pre-tax dollars from those accounts to buy the Fitbit in the first place? That might be better than trying to deduct it after the fact.

I just went through this exact situation last tax season! My employer has a similar wellness program where we get cash bonuses for activity goals. After doing a lot of research and talking to my tax preparer, here's what I learned: The wellness rewards are definitely taxable income (which you already know), but unfortunately the Fitbit purchase isn't deductible as an employee expense anymore due to the Tax Cuts and Jobs Act changes. However, I'd strongly recommend checking with your HR department about reimbursement options. Many companies have wellness stipends or equipment allowances that they don't advertise well. My company ended up having a $200 annual wellness reimbursement that I never knew about - it was buried in our benefits documentation. Also, if you have an HSA, you might be able to use those funds if your doctor writes a Letter of Medical Necessity stating the device is needed for a specific health condition (like monitoring heart rate for a cardiac condition). This is a long shot for general wellness use, but worth exploring if you have any documented health issues. The bottom line is that trying to deduct it on your taxes probably won't work, but there are other avenues through your employer or HSA that might help offset the cost.

22 Has anyone used FreeTaxUSA for reporting gig income without 1099s? I'm in the same situation (made about $550 each on UberEats and Doordash) and wondering if that software handles it well?

Great question! I was in a similar situation last year. Yes, you absolutely need to report ALL income even without 1099s - the IRS expects you to report every dollar earned regardless of the forms you receive. Here's what I learned: You'll file a Schedule C for self-employment income and report your combined $1,640. The good news is you can deduct business expenses like mileage (67 cents per mile for 2025), phone usage, delivery bags, etc. These deductions can significantly reduce your tax liability. Don't forget you'll also need to file Schedule SE for self-employment tax (about 15.3% on your net earnings). One tip: Keep detailed records of everything - your app payment summaries, mileage logs, and receipts for any business expenses. The IRS may not require 1099s from the companies, but they still expect accurate reporting from you. Most tax software can handle this, but make sure to select the self-employment/business income sections when filing. You've got this!

I tracked my refund exactly through this process last month. IRS issued my refund on March 3rd at 12:01am (according to my transcript). SBTPG received it on March 4th at 9:42am. They processed it and sent it to my bank by 4:15pm that same day. My bank posted the funds at 2:27am on March 6th. So exactly 3 days, 2 hours and 26 minutes from IRS issuance to money in my account. SBTPG took $39.95 for the refund transfer fee plus my preparation fees of $219. The rest came through without issues.

Thanks for all the detailed responses everyone! This really helps clarify the process. So just to make sure I understand - when WMR shows "refund issued" that means it's going to SBTPG first, not directly to my bank account. Then I should expect an additional 2-4 business days for SBTPG to process and transfer to my actual bank. I'll check my tax preparer's website to see if they have an SBTPG tracking option like some of you mentioned. Really appreciate the step-by-step breakdown and the real timeline examples!

omg i had the literally same issue last year!!! first place said i owed $1800 and second place said i was getting back $4700. turns out first place forgot to enter my student loan interest and child tax credit, and second place was claiming some shady home office deduction i didnt qualify for. ended up using taxr.ai after seeing it reccomended here and it showed me exactly how to file correctly. got a legit $2300 refund without any sketchy stuff.

This is exactly why I always recommend getting at least two opinions when dealing with taxes! A $9,000 difference is absolutely massive and indicates someone is making serious errors. Here are some red flags to watch for: • Check if both preparers are looking at the same documents - sometimes one misses a W-2 or 1099 • Ask for itemized breakdowns of deductions and credits claimed • Be wary of anyone promising huge refunds without clear explanations • The preparer offering the big refund might be claiming credits you don't qualify for (EITC, education credits, etc.) I'd strongly suggest getting a third opinion from a CPA or EA (Enrolled Agent) who can explain their work step by step. Don't just go with whoever promises more money - incorrect filings can trigger audits and you'll end up owing penalties and interest later. Better to be conservative and accurate than to deal with IRS headaches down the road!

lmao everyone in here trying to decode these transcripts like we're solving a mystery. just use taxr.ai and save yourself the headache

Code 0602 is actually pretty common - it just means your return is in the processing queue. I've seen it take anywhere from 1-6 weeks depending on how backed up they are. If you e-filed and it's been more than 21 days, that's when I'd start getting concerned. Keep checking for updates every Friday since that's when they typically update transcripts.