Has anyone used the Cash App Taxes option? I heard it's completely free and handles investment forms, but I'm wondering if it's user friendly.

I actually just went through this exact situation last month! Had a 1099-MISC from Robinhood with only $23.18 in miscellaneous income and was so frustrated when TurboTax wanted to charge me nearly $100 to file it. After reading through all these comments, I ended up using FreeTaxUSA and it worked perfectly. The whole process took maybe 15 minutes, it handled my Schedule D form automatically, and it was completely free for federal filing. The interface is definitely more basic than TurboTax, but for something this straightforward it was totally fine. Just wanted to confirm for anyone else in this boat - you definitely need to report it (learned that the hard way when I called the IRS using that Claimyr service someone mentioned), but you absolutely don't need to pay $90+ to do it. The free options handle stock sales just fine, even tiny amounts like ours. My total tax on the $23 ended up being about $3.50, so definitely not worth paying premium software fees for!

Just got my PA refund yesterday! Here's my timeline: • Filed: February 1, 2024 • Status changed to "Processing": February 3 • Status changed to "Under Review": February 17 • Status changed to "Approved": March 12 • Direct deposit received: March 14 Total time: 42 days from filing to deposit. Hope this helps give you a concrete example!

Thanks for all the helpful responses everyone! As someone who just moved to PA and is navigating this for the first time, this has been really educational. Based on what I'm reading here, it sounds like the 4-6 week timeline is pretty standard, and I shouldn't panic if my refund takes longer than the federal one did. I'm particularly interested in the myPATH portal updates that @Isabella Brown mentioned - I'll start checking that weekly instead of just waiting for the deposit. The detailed timeline from @Emma Garcia is especially helpful since I also filed in February. I think I'll follow @Maya Patel's advice and just assume it'll take 8 weeks so I'm not disappointed. Has anyone noticed if PA sends any email notifications when status changes, or is checking the portal the only way to stay updated?

Just want to add one more important point that I learned the hard way - make sure you file your return by tomorrow's deadline even if you can't pay! The failure-to-file penalty is 5% per month (up to 25% total) while the failure-to-pay penalty is only 0.5% per month. That's a huge difference on $20k. I made the mistake of not filing on time a few years ago because I couldn't pay, and it cost me an extra $5,000 in penalties. The IRS is actually pretty reasonable about payment plans if you file on time and communicate with them. They'd much rather work with you than chase you down later. Also, once you set up the payment plan, make sure you never miss a payment or they can default the entire agreement. Set up autopay if possible to avoid any accidents. Good luck!

I just went through this exact situation last month with a similar amount owed. One thing that really helped me was calling the IRS Practitioner Priority Service line (1-866-860-4259) instead of the regular taxpayer line. As long as you have a power of attorney form or are calling about your own account, they typically have much shorter wait times - I got through in about 20 minutes. The agent walked me through all my options and helped me understand that with a $20k balance, I could actually qualify for a "guaranteed" installment agreement since it's under $50k and I was current on filings. They also explained that if I could somehow pay it off within 120 days, there would be no setup fee at all and minimal interest accrual. Another tip: if you're self-employed or have irregular income, ask about a different payment structure. They can sometimes work with seasonal income patterns or allow lower payments during slower months. The key is being upfront about your financial situation when you call.

Dumb question maybe, but what exactly happens if the statute of limitations runs out while they're still auditing? Does the whole thing just go away magically, or can they still assess taxes based on what they found up to that point?

Based on your situation, I'd actually recommend signing the Form 872 with a negotiated timeframe. Here's why: since you've already provided all documentation and are planning to accept their findings anyway, giving them adequate time to complete a thorough review could work in your favor. When auditors feel rushed by an expiring statute, they often make conservative estimates that lean heavily toward the government's position. With more time, they might catch calculation errors in your favor or give more consideration to borderline deductions. Since you mentioned the proposed increase is $4,200, I'd suggest signing the extension but negotiating it down to 6 months instead of the typical 1-year extension. This gives them sufficient time while still keeping some urgency to wrap things up. You can literally cross out the date on Form 872 and write in your preferred end date - most examiners will accept reasonable modifications. The key is being proactive about it. Contact your examiner and say something like: "I'm willing to sign the extension to give you adequate time to complete a thorough review, but I'd prefer to limit it to 6 months to bring closure to this matter." This shows cooperation while maintaining some control over the timeline.

Does anyone know how the mortgage interest deduction works in this situation? If I own 3 properties (my primary home, a vacation home, and my mom's rental that's below market), can I still deduct the mortgage interest on all of them? Tryin to figure out if I'm hitting some kinda limit.

One thing I haven't seen mentioned yet is the importance of keeping detailed records of all your expenses related to the property. Since you're renting at below market rate, the IRS may scrutinize your deductions more closely if you're ever audited. Make sure to track everything - property taxes, mortgage payments, insurance, maintenance, repairs, even mileage when you drive over to check on the property. If the IRS does limit your deductions proportionally (like others mentioned with the 75-80% rule), you'll want solid documentation to support every expense you're claiming. Also, consider getting a formal appraisal or at least documenting comparable rentals in your area when you set the rent. This creates a paper trail showing you made a good faith effort to determine fair market value, which helps justify your rental amount if questioned later. I learned this the hard way when my accountant couldn't find enough documentation to support my below-market family rental and I had to scramble to recreate everything during tax season.