OMG this verification stuff is SO frustrating! 😤 I've been researching this extensively and found that the IRS is flagging WAY more returns for verification this year! Apparently there's been a huge spike in tax identity theft, so they're being extra cautious. I'm super curious - did your letter have a 5071C code on it? That specific verification type seems to be taking longer than the 4883C letters. Either way, hang in there! Most people I've talked to are getting their refunds about 3-4 weeks after completing verification.

I'm dealing with a similar verification situation right now - filed early February and just got my letter yesterday. One thing I've learned is that the IRS has definitely ramped up their identity protection measures this year, especially for early filers. For anyone still waiting, here are a few tips that helped me navigate this: • Keep checking your online IRS account - sometimes the verification option appears there before the letter arrives • If you call, have your prior year AGI and filing status ready - they'll ask for these to verify your identity • Document everything - dates you called, reference numbers, what agents told you The waiting is brutal, but from what I'm seeing in various tax forums, most people are getting their refunds 2-4 weeks after completing verification. Thanks for sharing your timeline - it really helps to know others are going through the same thing!

Anyone using PetroDesk for this? My CPA recommended it but the price seems really high for what it does.

For what it's worth, I've been using Drake Tax software with their oil and gas module for the past 3 years and it's been solid for my needs. It handles both cost and percentage depletion calculations automatically and maintains basis adjustments year-over-year. The interface isn't the prettiest, but it gets the job done and is significantly less expensive than some of the specialized solutions mentioned here. The main downside is that it's really designed for tax professionals, so there's definitely a learning curve if you're not familiar with tax software. But once you get the hang of it, it's very reliable for depletion calculations across multiple properties. They also have decent customer support during tax season if you run into issues. Might be worth looking into if the other options seem too complex or expensive for your situation.

I'm dealing with a similar situation right now! I received a personal injury settlement in 2023 and my attorney issued a 1099-MISC even though we both agreed the settlement wasn't taxable. Reading through all these responses has been incredibly helpful - especially the advice about organizing documentation now rather than waiting. One thing I'm curious about - has anyone here actually tried filing an amended return proactively to include the 1099-MISC with an explanation, rather than waiting for a potential CP2000 notice? I'm torn between being proactive and just waiting it out like most people seem to suggest. My new CPA says either approach is fine, but I'm leaning toward waiting since there's no additional tax due anyway. The timeline everyone's mentioned (1-2 years for notices) actually makes me feel better. At least I know roughly when to expect something if it's coming, and I can use that time to get all my documentation perfectly organized like Adaline and Effie described.

Based on my experience as a tax professional, I'd recommend waiting rather than filing an amended return proactively. Since your settlement is genuinely non-taxable personal injury compensation under IRC Section 104(a)(1), you have solid legal ground to stand on if you do receive a CP2000 notice. The key is being prepared with proper documentation as others have mentioned. Make sure you have: 1) the original settlement agreement clearly stating it's for personal injury, 2) the 1099-MISC form, and 3) written confirmation from your CPA(s) about the non-taxable nature. If a notice does come (typically 12-24 months after filing), you'll be able to respond quickly and confidently. In my experience, the IRS resolves these cases fairly efficiently when you provide clear documentation showing the income falls under the personal injury exemption. The automated system just flags the mismatch - it doesn't understand the context behind why certain 1099 income might be non-taxable. Don't let this keep you up at night. You followed professional advice and have legitimate tax treatment of the settlement. Just stay organized and you'll be fine either way.

22 Has anyone here used TurboTax for filing taxes in two states? I'm wondering if it handles this situation well or if I should use a different software.

One thing to keep in mind is that you may actually end up with a refund from Illinois since you overpaid them for those three months when you were living in Wisconsin. When you file your part-year resident returns, Illinois should refund you the excess withholding for the period you weren't a resident, and Wisconsin will calculate what you actually owe them for those months. The key is being precise about your move date - use the date you physically relocated and established domicile in Wisconsin, not when you updated your address with HR. Keep records of your lease signing, utility connections, voter registration changes, etc. as proof of your residency timeline in case either state questions it later.

lol welcome to PATH act hell... we're all just stuck here together watching our transcripts like hawks 🦅

Been through this multiple times and here's what I've learned: During the PATH Act hold, the IRS is basically running automated checks on your return against databases like Social Security Administration for dependent info and Department of Labor for income verification. Your transcript will show "Processing Date" but won't move much until after Feb 15th. Once the hold lifts, things usually move fast - typically see 846 refund date code within 24-48 hours if no issues found. The key is patience during this period since it's completely automated and there's literally nothing you can do to speed it up.