Question for anybody who's filed Form 8828 before... Does turbtax handle this form correctly? I tried putting in my info and it's calculating a really high recapture amount that doesn't seem right based on what I've read.

Based on your situation, you're absolutely in the clear! Since you owned your home for 11+ years after getting your MCC in 2013, you're well past the 9-year recapture period. The recapture tax under Form 8828 only applies to homes sold within 9 years of receiving the mortgage credit certificate. You don't need to file Form 8828 at all, and you don't need to worry about any recapture tax liability. The 9-year timeline you mentioned is exactly right - it's designed to protect homeowners who stay in their homes long-term, which is exactly what you did. Just to put your mind at ease: even if you hypothetically needed to file the form (which you don't), married couples filing jointly would only need to submit one Form 8828, not separate forms for each spouse. But again, since you're past the 9-year mark, this is all academic for your situation. Congratulations on being a long-term homeowner - the MCC program worked exactly as intended in your case!

Has anyone calculated how much time they're losing on this? I've spent exactly 3.5 hours over 2 days trying to access my transcripts. Need them to verify my $4,750 refund status. Called IRS exactly 8 times with average wait time of 47 minutes before disconnecting. This is costing people real money in wasted time.

I'm experiencing the same issue! Been trying to access my transcripts since yesterday morning for a loan application and keep getting timed out. This is really concerning since I have a deadline coming up. Has anyone tried using the mobile app instead of the website? Sometimes different platforms have different server loads. Also wondering if there's an official IRS Twitter account or status page where they post about these outages?

Have you considered a Cash Balance plan? With your income level, it might be worth looking into. It's a type of defined benefit plan that could allow you to contribute significantly more than a Solo 401k, especially if you're a bit older and trying to catch up on retirement savings.

Speaking from experience as a self-employed photographer with similar income - don't overlook a backdoor Roth IRA in addition to whatever main retirement plan you choose. I max out my Solo 401k first but also do the backdoor Roth for that tax-free growth. The contribution is small compared to what you can put in a Solo 401k but the long-term tax benefits are huge.

I'd recommend a slightly different approach that worked for me. Instead of selling the same stock in both accounts, consider selling the taxable account position for the tax loss, then immediately exchanging the IRA position for something different but similar (like a competitor in the same industry). This way you're not holding the "substantially identical" security in your IRA anymore, which should allow you to claim the tax loss. And since there are no tax consequences for selling at a loss in the IRA anyway, you're not giving anything up. Just make sure whatever you exchange into isn't considered "substantially identical" to the original security. This approach let me harvest the tax loss without being completely out of the market for 31 days.

This is a really common situation that catches a lot of people off guard! You're absolutely right to be concerned about the wash sale implications. Unfortunately, since you purchased the same stock in your IRA on January 15th (just 7 days after your taxable account purchase), selling the taxable position on February 18th would indeed trigger a disallowed wash sale. The IRS looks at all your accounts - including retirement accounts - when applying the wash sale rule. Here's what I'd suggest: If you want to claim the tax loss, you'll need to sell both positions and wait at least 31 days before repurchasing the same stock in either account. Since you mentioned the stock isn't recovering anyway, this might actually work in your favor from an investment perspective. One thing to keep in mind - your broker's 1099-B will likely NOT flag this as a wash sale because most brokers only track wash sales within the same account. It's your responsibility to identify and properly adjust for cross-account wash sales when filing your return. If you're looking to stay invested in the same sector, consider selling both positions and immediately buying a similar but not identical stock (like a competitor or sector ETF) to avoid being completely out of the market during the 31-day waiting period.

Has anyone else had issues with the IRS questioning their physical presence test documentation when splitting the 330 days across two calendar years? I did something similar last year and the IRS sent me a letter requesting additional proof beyond my travel records.

Great question about the FEIE and differential pay! As someone who's navigated similar military tax situations, I can confirm that your differential pay should qualify for the Foreign Earned Income Exclusion as long as you meet the physical presence test. A few key points to consider: 1. **Timing flexibility**: You don't need to complete all 330 days in 2023. You can use any consecutive 12-month period, so starting mid-February 2023 and going through mid-February 2024 could work perfectly for your situation. 2. **Documentation is crucial**: Keep detailed records of every day you're outside the US - deployment orders, passport stamps, travel receipts, etc. The IRS can be thorough when reviewing FEIE claims, especially for military personnel with complex situations. 3. **Coordinate with your employer**: Make sure your civilian employer understands how they should be handling withholding on your differential pay. Some companies automatically adjust for FEIE, others don't. 4. **Consider state taxes**: Don't forget that some states don't recognize the FEIE, so you might owe state taxes even if the income is federally exempt. The proration calculation across tax years can get complex, so you might want to consult with a tax professional who specializes in military situations to make sure you're maximizing your benefits correctly.