For what it's worth, I had success with an injured spouse claim in California by specifically addressing the community property issue in a letter attached to my resubmitted Form 8379. I included: 1. A detailed explanation of how the income was earned separately 2. Bank statements showing separate accounts 3. A signed statement from my ex acknowledging the tax debt was solely his 4. Proof that I had no knowledge of or benefit from whatever created his tax debt The key was being super specific about the money trail and attaching actual documentation. The IRS actually approved my claim on the second try and I got about 70% of my refund back (the part directly tied to my W-2 withholding).

I'm dealing with a similar situation right now in California and this thread has been incredibly helpful! My refund was offset for my spouse's student loan debt and the injured spouse claim was rejected with the same vague "considered and denied" language. Based on what everyone has shared here, it sounds like the key is really addressing the community property issue head-on with specific documentation. I'm going to try the reconsideration approach that Ellie mentioned before going the formal appeals route. One question - for those who were successful, how long did it typically take to hear back from the IRS after resubmitting? I'm trying to set realistic expectations for my client about timing, especially since we're already 4 months into this mess. Also, has anyone had experience with cases where the offset was for something other than back taxes (like student loans or child support)? I'm wondering if the same strategies apply or if there are different considerations.

I've been dealing with transcript access issues too! One thing that helped me was making sure I was using the exact same personal information (name, SSN, address) that the IRS has on file from my most recent return. Even small differences like abbreviations vs. full street names can cause the system to reject your login. Also, if you're still having trouble after trying all these suggestions, you can request transcripts by mail using Form 4506-T. It takes 5-10 business days but it's a reliable backup option when the online system isn't cooperating. The mailed transcripts show all the same information including amendment status codes.

I had this exact same issue last month! The new IRS transcript system is definitely confusing. What worked for me was using a completely fresh browser session - I cleared all cookies, cache, and browsing data, then went directly to irs.gov/individuals/get-transcript. Don't use any bookmarks from previous years as those URLs might be outdated. When you get to the verification step, I'd recommend trying the Direct Authentication method first before ID.me - it seemed more reliable for me. Also, make sure you're looking for the right transcript type: for amended returns, you need the "Account Transcript" which will show processing codes. The "Return Transcript" won't show amendment status. If you're still stuck after trying these steps, the phone option that @Liam Fitzgerald mentioned might be worth it since amended returns can have specific issues that need agent assistance.

Don't forget that US Social Security benefits paid to non-residents also fall into this middle category! If you worked in the US in the past but now live abroad, your Social Security payments are US-sourced income not effectively connected with a trade or business. These are generally subject to 30% withholding unless your country has a tax treaty with better terms. For example, Canada's treaty makes US Social Security completely exempt from US tax for Canadian residents.

This is such a helpful thread! I've been struggling with this exact issue as a non-resident. One thing that really helped me understand the distinction was thinking about it in terms of "passive" vs "active" income. The middle category (US-sourced income NOT effectively connected with a US trade or business) is essentially passive income - you're not actively working or conducting business in the US to earn it. Examples include: - Bank interest from US accounts - Dividends from US stocks in your investment portfolio - Capital gains from selling US securities - Rental income from a property you own but don't actively manage - Lottery or gambling winnings in the US - Annuity payments from US sources The key test is whether you have a "US trade or business." Simply owning investments or property doesn't create a trade or business - you need to be actively engaged in commercial activities with some regularity and continuity in the US. So if you're sitting in Tokyo and receive Apple dividends, that's passive US-sourced income taxed at 30% (or your treaty rate). But if you're flying to New York every month to actively manage a trading business, that same investment income might be "effectively connected" and taxed at regular US rates.

Watch out! I've seen this situation go badly for several people: • They assume the money is coming in a second deposit • They wait weeks with nothing happening • When they finally contact IRS, they learn the deadline to redirect the credit has passed • The money stays applied to next year's taxes Don't wait if you need that money now. The 826 code specifically means they've moved $1,300 to your 2024 tax account as a prepayment. It will NOT automatically come to your bank.

I went through this exact same situation three months ago and can confirm what others are saying - code 826 means they transferred your $1,300 to cover 2024 tax obligations. The key thing to understand is this money is now sitting as a credit on your 2024 tax account, not coming as a separate deposit. Since you mentioned needing this for medical bills, you absolutely can request that credit be refunded to you instead of applied to next year's taxes. You'll need to call the IRS and specifically request a refund of the transferred credit. They can process this, but it typically takes 6-10 weeks once approved. Don't wait on this - there are time limits for redirecting these transfers. I'd recommend calling first thing Monday morning (they tend to have shorter wait times early in the week) and have your Social Security number and the exact amount ready when you call.

I went through this exact same situation last year! My wife and I both have W-2 jobs and we bought our first house in 2023. I called around to different H&R Block locations and got quotes ranging from $275-$350 for our return (married filing jointly with mortgage interest deduction). What really helped me was calling during their slower hours (mid-morning on weekdays) rather than evenings or weekends when they're swamped. I also asked specifically about any first-time homeowner discounts - one location offered $25 off. That said, after getting those quotes, I ended up using TurboTax Deluxe instead for about $100 total. The mortgage interest part was really straightforward - just had to enter the info from our 1098 form that the mortgage company sent us. Saved us almost $200 and I felt confident we did it correctly. If you're set on using H&R Block though, definitely call multiple locations in your area since pricing can vary between franchises.

I'm in almost the exact same boat! My husband and I are both W-2 employees and we just bought our first home last year. I've been going in circles trying to get pricing from H&R Block too - their website is so confusing with all the different tiers and add-ons. Based on what everyone's shared here, it sounds like we're looking at around $280-350 for in-person service at H&R Block, which honestly seems pretty steep for what should be a straightforward return. The mortgage interest deduction isn't rocket science from what I understand. I'm leaning toward trying one of the software options mentioned here instead. Has anyone used both H&R Block's online software AND their in-person service? I'm curious if there's really that much difference in terms of catching deductions or ensuring accuracy for our situation. The price difference is pretty significant!