This is such a helpful thread! I'm dealing with something similar for my father who has a pension from the Netherlands. One thing I learned that might help - make sure to check if the Belgian pension system has any tax withholding agreements that could affect how much tax is withheld at the source. In our case, we had to file a form with the Dutch tax authorities to reduce the withholding rate based on the treaty benefits. This made the foreign tax credit calculation much cleaner on the US side. Belgium might have similar procedures that could simplify your mother-in-law's situation. Also, definitely keep detailed records of all the Belgian tax documents - not just for the current year but going back a few years. The IRS sometimes asks for historical documentation when they see foreign income reported for the first time, especially with older taxpayers who might have had unreported foreign income in previous years.

Great question about the Belgian pension! I went through this exact situation with my mother who has a pension from Ireland. A few key points that might help: First, yes, she absolutely needs to report the full pension amount on her US tax return regardless of the treaty - the IRS requires all worldwide income to be reported. But the good news is the US-Belgium tax treaty will protect her from double taxation through the foreign tax credit system. One thing I discovered that wasn't immediately obvious - make sure you're converting the pension amounts using the correct exchange rates for tax purposes. The IRS has specific guidance on this, and using the wrong conversion method can cause headaches later. Also, since she's been in the US for 3 years, double-check that she properly reported this pension income for the previous tax years too. If this is the first time it's being reported, you might want to consider filing amended returns for prior years to avoid any potential issues down the road. The TurboTax foreign income section should handle most of this, but don't hesitate to consult with a tax professional who specializes in international taxation if the situation feels complex. Belgian pensions can have some unique treaty provisions that general tax software might not catch.

Does anyone know if doing this larger withholding instead of quarterlies could trigger any red flags with the IRS? I'm paranoid about audits.

This is exactly what I do! I have a W-2 job making about $75k and do freelance graphic design on the side. Instead of dealing with quarterly payments, I just calculated my expected self-employment tax and income tax on the side income and divided it by my remaining pay periods. Then I put that extra amount on line 4(c) of my W-4. The math is pretty straightforward once you get the hang of it. For your $15k profit, you're looking at roughly $2,118 in self-employment tax (15.3% × $15k × 0.9235) plus income tax at your marginal rate. Since you're making $82k, you're likely in the 22% bracket, so that's another $3,300 in income tax on your side income. One tip: I always round up slightly when calculating my extra withholding. I'd rather get a small refund than owe money at tax time. The peace of mind is totally worth it, and you avoid any potential underpayment penalties.

If your cousin ever resurfaces and pays you back after you've claimed the bad debt deduction, you'll need to report that as income in the year you receive it (to the extent you received a tax benefit from the deduction). Just something to keep in mind.

I'm dealing with a similar situation right now - lent money to a family member who disappeared. One thing I learned from my tax preparer is that you should also keep records of any attempts to locate the debtor, not just collect from them. Screenshots of failed texts, returned mail, even notes about conversations with mutual contacts can help establish that the debt truly became uncollectible. Also, make sure you have clear documentation that this was actually a loan and not a gift. Bank records showing the transfer, any written agreements (even informal ones), and evidence that repayment was expected are crucial. The IRS sometimes challenges these deductions by claiming they were really gifts to family members. Having that promissory note you mentioned puts you in a much better position than most people in this situation.

For valuing items like clothing and household goods, I've found the Salvation Army donation value guide really helpful: https://satruck.org/Home/DonationValueGuide It gives reasonable ranges for common household items in good condition. Most other big charities have similar guides. Just make sure your valuation makes sense - don't claim $100 for a used t-shirt or $1000 for a basic coffee table.

Great thread everyone! I just wanted to add a practical tip from my experience last year. When listing items over $500 separately on Section A, make sure you're being specific enough in your descriptions. Instead of just writing "clothing item - $600," I learned to be more detailed like "designer wool coat, excellent condition - $600" or "antique dining table, good condition - $750." The IRS instructions mention that descriptions should be "reasonably detailed," and I found that being specific helped me feel more confident about my valuations. It also made it easier when the charity needed to sign off on the form - they could actually visualize what I had donated rather than trying to remember generic categories. Also, if you're donating similar high-value items to the same charity on different dates, you can still group them on one line as long as you note the date range. For example: "2 designer suits, excellent condition, donated 3/15 and 4/22 - $1,200 total.

Just wanted to add another perspective as someone who recently completed this process! I'm a non-US creator (from New Zealand) and got my ITIN sorted for multiple platforms including TikTok. One thing I wish someone had told me earlier: make sure you understand the difference between getting an ITIN for tax treaty purposes vs. just for reporting. If you're planning to claim treaty benefits (which you absolutely should as an Australian resident), you need to be extra careful about how you fill out the W-7 form and what supporting documentation you include. Also, don't just rely on TikTok's letter - I found it helpful to include a brief cover letter explaining my situation as a content creator and referencing the specific tax treaty article. This seemed to help streamline the process. The wait time is definitely real though - mine took about 10 weeks even during non-peak season. But once you have it, you're set not just for TikTok but for any other US-based monetization platforms you might want to join in the future. Worth the initial hassle!

As someone who just went through this exact process for my Instagram Reels monetization, I can confirm everything mentioned here is spot on! The ITIN application definitely seems intimidating at first, but it's totally manageable once you break it down. One additional tip I'd add: when you're gathering your supporting documents for the W-7 form, make sure everything is consistent. I initially had slight variations in how my name appeared on different documents and it caused a delay in processing. The IRS is very particular about exact matches. Also, if you're planning to scale your content creation beyond just TikTok, getting your ITIN now is definitely the right move. I've been able to monetize across multiple US platforms with the same number, and it's opened up opportunities I wouldn't have had otherwise. The waiting period is tough (mine took about 9 weeks), but once you get that letter with your ITIN, it feels amazing to finally be able to properly monetize your content. Definitely worth pushing through the paperwork!