Mine hit this morning! approved 2/5, deposit 2/7 with local credit union

I'm dealing with a similar situation but with federal refunds. Sometimes there can be additional processing delays when there's an adjustment made to your refund - the system might need extra time to verify the changes before releasing funds. Since your refund was "adjusted" (not just approved), that could explain the delay beyond the normal 48-hour window. The fact that you haven't received the explanation letter yet also suggests they might still be processing everything on their end. I'd definitely call tomorrow if nothing shows up - even with high call volume, they should be able to give you a status update on both the deposit and the adjustment letter.

Sofia, I'm really sorry to hear about your situation - losing a business is incredibly stressful both financially and emotionally. The good news is that you have some options that could help significantly with your tax burden. Based on what you've described, you'll likely be dealing with multiple forms and tax treatments. Your real estate loss will probably be treated under Section 1231, which means it would be an ordinary loss that can fully offset your $95k in capital gains from stocks. For the business assets, each category gets treated differently - equipment losses might be ordinary losses after accounting for any depreciation recapture, while inventory losses are typically ordinary as well. One thing to keep in mind is timing - if you're confident that these losses will provide substantial tax benefits this year (which they likely will), there may not be a strong reason to delay the closing. The ability to offset your capital gains could result in significant tax savings that might outweigh any potential benefits of spreading things across tax years. Since your accountant is unavailable, you might want to consider getting a second opinion from another tax professional before the closing, especially given the complexity and the amounts involved. This isn't the kind of situation where you want to guess - getting proper categorization of each asset could make a difference of thousands of dollars in your final tax liability.

Sofia, I completely understand the stress you're going through - business failures are tough both financially and emotionally. The silver lining here is that your losses could actually provide significant tax relief for your capital gains situation. From what you've described, you're looking at around $140k in combined losses that will likely be categorized in ways that favor you tax-wise. Your real estate loss ($75k) will probably qualify as Section 1231 property, which means it gets treated as an ordinary loss that can directly offset your $95k in stock gains. That alone could eliminate most of your capital gains tax liability. For the business assets ($63k loss), the treatment will depend on the specific items - equipment might involve some depreciation recapture calculations, but much of it will likely also qualify for ordinary loss treatment. Inventory losses are typically ordinary losses as well. Given that you have substantial capital gains this year that these losses can offset, I'd lean toward proceeding with the sale rather than delaying. The tax benefits of recognizing these losses in 2025 when you have gains to offset them could be substantial - potentially saving you $20k+ in taxes depending on your bracket. However, with amounts this large, I'd strongly recommend getting a consultation with another tax professional before closing if your regular accountant isn't available. The proper categorization and timing of these transactions could make a significant difference in your final tax outcome.

Before you even consider an OIC, have you looked into whether you qualify for Currently Not Collectible status? If your financial situation is really tight, you might qualify for CNC which would pause your payments until your finances improve. It doesn't make the debt go away, but it gives you breathing room without the lengthy OIC process.

I went through the OIC process about 6 months ago with a similar debt amount ($12k from freelance work). Here's what I learned: First, the IRS really does look at your entire financial picture - not just the debt amount. They calculate your "reasonable collection potential" which includes your assets, income, and necessary living expenses. If you can demonstrate genuine financial hardship or that paying the full amount would prevent you from meeting basic living expenses, you have a shot regardless of the debt size. My biggest mistake initially was trying to do it myself. The forms are incredibly detailed and one small error can get your application rejected. I ended up working with a tax professional who helped me properly document my case. We showed that my current income barely covered my necessary expenses and that the monthly payment plan was actually causing me to go deeper into debt with credit cards just to cover basics. The process took about 8 months total, but I ended up settling for about 35% of what I owed. The key was proving that this was truly the most the IRS could reasonably expect to collect from me given my circumstances. One warning though - during the application process, you can't miss any payments if you're currently on a payment plan. They'll reject your OIC if you become delinquent while it's being reviewed.

Has your brother filled out a FAFSA for college? If your mom can't claim him as a dependent due to his investment income, he should file the FAFSA as an independent student, which might actually help him qualify for more financial aid since only his income and assets would be considered, not your mom's. This could potentially offset some of the tax disadvantages of not being able to be claimed as a dependent. Just something to consider for the bigger financial picture.

Based on everything discussed here, it sounds like your mom unfortunately cannot claim your brother as a dependent due to his $19k in investment income exceeding the $4,850 gross income limit for 2024. Since he's over 24, he can't qualify as a "qualifying child" where investment income wouldn't matter. However, this might actually work out better financially for your family overall. Your brother should definitely file his own return and will be able to claim his full standard deduction. More importantly, he'll likely qualify for education tax credits like the American Opportunity Credit (up to $2,500) or the Lifetime Learning Credit, which could provide significant tax benefits that your mom wouldn't be able to claim for him anyway. For your mom's situation, make sure she explores other tax benefits available to retirees. Since she retired mid-year, she should check if she qualifies for the Retirement Savings Contribution Credit on any 401k contributions she made before retiring. Also, if she hasn't already, she should review her withholding on any pension or Social Security benefits to avoid underpayment issues next year. Sometimes what looks like a tax disadvantage initially can actually work out better when you look at the whole picture!

Thanks for starting this discussion! I'm in a similar boat with about $28k in back taxes from my consulting business. Reading through everyone's experiences has been really eye-opening. I've been leaning toward trying the DIY approach first using some of the tools mentioned here. The idea of paying $4-5k upfront to a company like TaxRise when I might be able to handle it myself (or with a local CPA for much less) makes a lot of sense. One question for those who've gone the self-representation route: how did you handle the intimidation factor of dealing directly with the IRS? I keep imagining worst-case scenarios where I say the wrong thing and make my situation worse. Any tips for building confidence before making that first call? Also, has anyone used the Taxpayer Advocate Service? I've seen it mentioned on the IRS website but not sure if it's relevant for situations like ours.

I really appreciate everyone sharing their experiences here! As someone who's worked in tax resolution for over a decade, I want to add a few thoughts that might help you make the best decision for your specific situation. The $36k debt with multiple unfiled returns definitely makes your case more complex than a simple installment agreement. Companies like TaxRise can be worth it IF you truly don't have the time or capacity to handle it yourself, but you're right to be cautious about the costs. Here's what I'd recommend: Start by getting your tax transcripts from the IRS (you can order these online) and filing those missing returns yourself or with a local preparer. Once you have a complete picture of what you actually owe (penalties and interest can be negotiated), then decide if you want professional help. The Fresh Start program mentioned earlier is real and has helped millions of taxpayers. For your debt level, you'd likely qualify for a streamlined installment agreement without extensive financial disclosure if you can pay it off within 72 months. One red flag to watch for with ANY tax relief company: if they guarantee specific outcomes or tell you to stop communicating with the IRS while they "handle everything," run. Legitimate professionals will always be upfront about what they can and cannot promise. Your health crisis and business complications might actually work in your favor for penalty abatement - the IRS has reasonable cause provisions that many taxpayers don't know about.