Has anyone noticed that refunds seem extra slow this year compared to previous years? I filed mid-January and still waiting while in past years I'd have my money by Valentine's Day. Is the IRS extra backed up or something?

I'm going through the exact same thing! Filed on February 8th with TurboTax, claimed EITC and CTC for my daughter, and I'm still stuck on "still being processed" with no refund date. It's so stressful when you're counting on that money. One thing that helped me was checking my tax transcript like someone mentioned - it showed a 570 code which at least explained there was a hold rather than just wondering what was happening. I also learned that returns with EITC are automatically held until mid-February by law, so our processing didn't even start until then. I know it's frustrating but from what I'm reading here, it seems like 6-8 weeks isn't uncommon this year, especially with credits. Hang in there - sounds like most people are eventually getting their refunds, just later than expected!

I've been following this thread and wanted to add my perspective as someone who dealt with a very similar LTR 916C situation. The frustration you're feeling is completely understandable - these notices are poorly written and don't explain the IRS's reasoning clearly. One thing I haven't seen mentioned yet is that sometimes the issue isn't with your Form 8379 at all, but with how your original joint return was processed. I discovered that the IRS had incorrectly entered some of my W-2 information when they processed our return, which threw off the entire injured spouse calculation. They allocated income to my husband that was actually mine, making it look like I deserved a smaller portion of the refund. The key for me was getting a wage and income transcript (different from the account transcript) which shows exactly what W-2 and 1099 information the IRS has on file for both you and your spouse. You can request this online at the same time you get your account transcript. Compare this to your actual tax documents - if there are discrepancies, that could be the source of your problem. Also, don't be afraid to escalate if the first IRS representative you speak with can't help. Ask to speak with a supervisor or someone in the injured spouse unit specifically. The regular customer service reps often don't understand these complex allocation issues as well as the specialists do.

I've been reading through this entire thread and I'm amazed at how helpful everyone's experiences have been! As someone who's currently dealing with my own LTR 916C nightmare, seeing all these different perspectives and solutions has been incredibly valuable. What strikes me most is how common this issue seems to be with injured spouse claims, yet the IRS notices are so poorly written that they leave you completely in the dark about what went wrong. The two-stage processing system explanation makes so much sense - no wonder we get refunds and then confusing "overpayment" notices weeks later. I'm taking notes on all the suggestions here: requesting both account transcripts AND wage/income transcripts, checking for income allocation errors, verifying dependent claiming issues, and making sure tax credits were split correctly. The tools and services people have mentioned (taxr.ai, Claimyr) also sound worth exploring if I can't get anywhere with the IRS directly. The most encouraging thing is seeing how many people have successfully challenged these calculations and gotten them corrected. It's given me the motivation to fight this instead of just accepting what feels like an unfair determination. Thanks to everyone who shared their experiences - this thread should be required reading for anyone dealing with injured spouse claim issues!

Has anyone successfully fixed this through their tax software's help line instead of calling the IRS? I'm using H&R Block online and wondering if I should try their support first. Been staring at these forms for days trying to figure out where the mismatch is.

I went through this exact same nightmare with F-8962-070 rejections earlier this year! After weeks of frustration, I finally figured out my issue was with the "shared allocation percentage" on Part IV of Form 8962. Even though I was the only person covered by my marketplace plan, I had left the allocation percentage blank instead of entering 100%. Apparently the IRS system expects you to explicitly state 100% even for single coverage. Once I made that change and resubmitted, it was accepted immediately. Also double-check that you're using the correct tax year's Federal Poverty Line amounts for your household size calculation. I initially used 2023 numbers when filing my 2024 return, which threw off my expected contribution calculation and caused mismatches. The rejection notices are so vague - it's incredibly frustrating when you think you've done everything right!

I know everyone's focusing on the 401k withdrawal, but don't forget about that HSA issue! If those were qualified medical expenses for childbirth, you should NOT be taxed on that distribution. Make sure you have documentation for all those medical expenses and include that with your amended return too.

Benjamin, I feel for you - this situation is stressful but definitely fixable! Everyone's given you great advice about the amended return and Form 8915-E. I went through something similar and here are a few additional tips: 1. When you file your amended return, make sure to clearly mark it as "COVID-related distribution" on Form 8915-E. This is crucial for getting that 10% penalty removed. 2. For the HSA withdrawal, gather EVERYTHING - hospital bills, doctor visits, prescription receipts, even parking receipts if you kept them. The IRS wants to see that every penny was for qualified medical expenses. 3. Consider making estimated tax payments while your amendment is being processed. This shows good faith and can help reduce interest charges. 4. Don't panic about the timeline - you're well within the 3-year window for amending. The IRS is actually pretty reasonable when people come forward to fix honest mistakes like this. The key is acting quickly and being thorough with your documentation. You caught this before it got worse, which is really important. Keep us posted on how it goes!

This thread has been incredibly helpful! I'm dealing with a similar situation where our family trust owns multiple LLCs, and I've been going in circles trying to figure out the Section 179 implications. One thing I'd add for anyone reading this - make sure you understand the annual Section 179 limits too. For 2024, the maximum deduction is $1,220,000 with a phase-out starting at $3,050,000 of qualifying purchases. But these limits apply at the individual level, so if you have multiple entities owned by the same grantor trust, you need to coordinate across all of them. Also, don't forget about the "taxable income limitation" - you can't claim more Section 179 than the taxable income from all your businesses combined. This caught us last year when we had a big equipment purchase but lower profits than expected. The combination of using taxr.ai for document analysis and Claimyr to actually talk to the IRS sounds like a solid approach. Sometimes you need that official confirmation from the horse's mouth, especially with complex trust structures.

This has been an incredibly informative discussion! As someone new to this community but dealing with a similar trust/Section 179 situation, I wanted to share my recent experience. I had been struggling with this exact issue - our revocable trust owns an S-Corp that manufactures custom furniture, and we were looking at a major equipment purchase. After reading through this thread, I decided to try both services mentioned. First, I used taxr.ai to analyze our trust documents. Within 48 hours, I had a comprehensive report confirming that our grantor trust structure would allow the Section 179 deduction to flow through. The analysis was thorough and included specific tax code references. Then I used Claimyr to get official IRS confirmation. After weeks of failed attempts to reach the IRS on my own, I was connected to an agent in about 40 minutes. The agent confirmed the analysis and even provided additional guidance on proper documentation. One thing I'd add to this discussion - make sure your trust documents explicitly identify it as a grantor trust. The IRS agent mentioned that unclear language in trust documents can sometimes create complications during audits. Our attorney had to amend one provision to make the grantor status crystal clear. Total cost for both services was under $500, but it potentially saved us from losing out on a $75,000+ deduction. Sometimes the peace of mind and speed is worth paying for professional analysis rather than spending weeks researching on your own.