Anyone else notice the IRS has been taking longer to process CAA-submitted W7 applications lately? Last year I was telling clients 4-6 weeks, but now I'm seeing 8-10 weeks minimum.

Thanks for bringing up this processing time issue - I've definitely noticed the same trend. I'm also a newer CAA (about 8 months now) and I've been tracking my application timelines. My first few submissions in September/October were processed in about 5-6 weeks, but everything I've submitted since January has been taking 9-12 weeks. I think part of the issue is that the IRS is still catching up from the pandemic backlog, plus they've had budget constraints affecting staffing levels. What I've started doing is being very upfront with clients about current processing times and explaining that while CAA applications don't get lost in the mail like regular submissions can, the review process itself is just taking longer right now. I also make sure to emphasize the other benefits - like not having to mail original documents and generally having fewer rejections due to documentation issues since we verify everything upfront. It's not ideal, but at least clients appreciate the transparency about realistic timelines.

Trust me, file everything now. The penalties for not reporting income are WAY worse than whatever you might owe. Plus theres tons of deductions you might qualify for to reduce what you owe. Check out taxr.ai - saved my butt when I was in the same boat

You absolutely cannot split W2s between tax years - that's tax fraud. All W2s for income earned in 2024 must be reported on your 2024 return, period. The IRS gets copies of every W2 and will catch this immediately. If you're worried about owing money, look into these legitimate options: 1) Check if you qualify for any deductions or credits you missed, 2) Set up an IRS payment plan if you do owe (they're actually pretty reasonable), 3) Consider adjusting your withholdings for next year so you don't face this again. The penalties for not reporting income are way worse than whatever you might owe now.

Varo customer here. SBTPG updates are delayed by 24-48 hours sometimes. They batch process during tax season. Your DDD is just when IRS releases funds. Add 1-2 business days for SBTPG processing. Varo usually deposits within hours of receiving funds. Don't panic until 2 business days after your DDD passes. Check your Varo pending transactions too - sometimes it shows there first.

I've been through this exact scenario with Varo multiple times. The key thing to understand is that SBTPG's portal is notoriously unreliable during peak season - it's like trying to track a package when the shipping company's website is overwhelmed. Your transcript showing DDD 3/18 is what really matters. Varo typically processes deposits within 2-4 hours of receiving them, often in the early morning hours (usually between 2-5 AM). Since you need this in exactly 4 days, you're actually in a decent position - most deposits arrive 1-2 days before the official DDD. I'd recommend setting up account alerts if you haven't already, and try not to refresh SBTPG obsessively (easier said than done, I know). The money usually shows up in your Varo account before SBTPG ever updates their status.

This thread has been incredibly helpful! I'm in a similar situation with about 30 1099s annually and was feeling completely overwhelmed by all these electronic consent emails showing up in January. The consensus seems clear: companies need explicit consent BEFORE switching to electronic delivery, not this backwards "click to consent" approach. I'm going to follow the advice here and send immediate responses to all these companies stating I never consented to electronic delivery and require paper forms per IRS regulations. The template suggestions and tips about documenting everything are exactly what I needed. It's frustrating that we have to do this extra work, but at least now I know I'm not crazy for thinking this whole system seems backwards. One question though - for those who have successfully gotten companies to switch back to paper delivery, how long did it typically take them to send the physical 1099s after you requested them? I'm wondering if I should expect delays since we're already well into tax season.

This is such a timely discussion! I work for a tax preparation service and we see this issue constantly with clients. The electronic consent emails have definitely increased dramatically this year, and many of our clients are confused about whether they have to accept electronic delivery. What I tell clients is exactly what's been said here - legitimate consent must be obtained BEFORE electronic delivery, not through these backward "click to consent" emails. The IRS is very clear that consent must be affirmative and informed, meaning you should know what you're agreeing to before the company switches to electronic delivery. One thing I'd add is to keep a simple spreadsheet tracking which companies you've contacted and when, along with their responses. Tax season gets hectic and it's easy to lose track of which companies you're still waiting to hear from. This documentation also helps if you need to escalate with the IRS later. For anyone still getting pushback from companies, you can reference IRS Publication 1179 which outlines the electronic delivery requirements. Having the specific regulation number often gets faster compliance than general requests.

Just want to add my experience - I was in an almost identical situation last year. Had 3 years of unfiled taxes with both W-2 and 1099 income. I decided to DIY with tax software and regret it now. I thought I was saving money, but I missed several deductions that would have saved me thousands. I also messed up the estimated tax penalty calculations which caused more issues. Then I tried amending the returns myself which created an even bigger mess! Finally hired a tax pro who had to fix everything. Cost me way more in the end than if I'd just hired them at the beginning. Just my 2 cents, sometimes trying to save money costs more in the long run.

I want to share some practical advice from someone who went through a very similar situation recently. First, don't panic - this is absolutely manageable even though it feels overwhelming right now. For your unfiled returns (2015, 2018, 2020), the most important thing is getting them filed ASAP to stop the failure-to-file penalties from growing. These penalties are typically much higher than failure-to-pay penalties. Since you mentioned your returns are relatively straightforward, you could potentially handle the preparation yourself using prior year tax software. However, given that you have over $20k in total tax debt between your back taxes and unpaid 2023 estimated payments, I'd lean toward getting professional help for a few key reasons: 1. **Penalty abatement opportunities** - A tax pro can often get first-time penalty abatements or reasonable cause waivers that could save you hundreds or thousands 2. **Maximizing deductions** - Even "simple" 1099 work often has more deductible expenses than people realize (home office, mileage, equipment, etc.) 3. **Payment plan strategy** - They know how to structure installment agreements to get the best terms and can handle both your back taxes and 2023 shortfall in one comprehensive plan The $450 per year might seem expensive, but if they can reduce your tax liability by even 10-15% through proper deductions and penalty abatement, that fee pays for itself many times over. Plus, having everything handled correctly the first time prevents costly amendments later. For immediate next steps: gather all your tax documents for those years, and consider getting quotes from a few different tax professionals who specialize in tax resolution, not just basic tax prep.