As someone who's seen these schemes from the inside, I can tell you this volcanic ash arrangement has all the hallmarks of an abusive tax shelter. I used to work at a Big 4 accounting firm and we'd regularly see clients get burned by these "too good to be true" charitable donation strategies. The key issue is economic substance - there's no legitimate business purpose other than generating tax deductions. Real charitable donations don't promise guaranteed 4x returns through tax savings. The IRS has gotten very sophisticated at identifying these patterns, especially when the same promoters are selling identical packages to multiple taxpayers. Your gut instinct is right to be suspicious. Even if your CPA is confident, they won't be the one paying penalties and interest when the IRS comes knocking. I'd strongly recommend getting a second opinion from a tax attorney who specializes in tax controversy before proceeding. The short-term tax savings aren't worth the long-term audit risk and potential penalties.

Does anyone have a referral for a company that does this?

From what I've gathered from the community, most people seem to be on cycle 05 (Friday updates), but there are possibly other cycles too. It might depend on your filing status, whether you have certain credits, or perhaps even the last two digits of your SSN - though I'm not entirely sure about that last part. The most reliable way is probably checking your transcript for the cycle code, which should be a number ending in 01-05.

I've been tracking IRS cycles for three tax seasons now, and here's what I've learned that might help with your 14-day timeline. The cycle code appears in the upper right corner of your Account Transcript (not Return Transcript) as a format like 20241205. The last two digits (05 in this example) indicate your cycle - 01=Monday through 05=Friday. Most individual filers are on cycle 05, which means your transcript updates Friday nights and deposits typically hit 3-5 business days later (Wednesday-Friday of the following week). Given that you're at day 23 and need funds in 14 days, check your Account Transcript this Friday night after 11 PM. If it updates with a deposit date (DDD), you should receive your refund within your timeframe. If no update, you'll likely need to wait another full cycle (7 days). The key is checking the RIGHT transcript - Account, not Return.

Just to add another perspective to the QBI discussion - make sure you're tracking your basis in the LLC separately from the QBI calculations. I made the mistake of confusing these two concepts and it caused problems later. Even if your QBI is zeroed out due to passive loss limitations, you still need to track your basis in the LLC which is affected by the losses allocated to you. Your basis can go negative in some circumstances (like if you have partnership debt), but that's separate from how QBI is treated. Also worth noting that if your spouse materially participates and you don't, your spouse might qualify for the QBI deduction in future profitable years even if you're still working through suspended passive losses.

Something important that hasn't been mentioned yet - make sure you're tracking your "at-risk" amount separately from both your basis and your passive activity amounts. It's a third limitation that can affect how losses are treated. I learned this the hard way with my LLC. Even though I had sufficient basis and wasn't limited by passive activity rules (because I was active), I still couldn't take some losses because of the at-risk rules. The tax software didn't explain this clearly. For your spouse who is active, their "at-risk" amount might become the limiting factor rather than the passive activity rules. For you as the passive investor, you'll likely hit the passive activity limitations before the at-risk limitations come into play.

I know this is slightly off topic, but which medical studies are paying so well? I've only been finding ones that pay like $50-100 for a day of testing, and you made $5,800? Are you doing pharmaceutical trials or something more involved?

I'm a tax professional and can confirm that your medical study income on 1099-MISC forms absolutely qualifies as earned income for Roth IRA contributions. The IRS considers compensation for your time, participation, and following study protocols as "payment for services rendered," which falls squarely under the earned income definition. The key test is whether you're being paid for your active participation versus just receiving reimbursement for expenses. Since you're undergoing tests, taking medications, attending appointments, and following specific protocols, you're clearly providing services that warrant compensation. A few important points to remember: - This income is subject to self-employment tax (15.3%), so plan accordingly - You'll need to file Schedule C to report this business income - Keep records of any unreimbursed expenses related to your participation (travel, parking, etc.) as these may be deductible - The $6,500 Roth IRA contribution limit for 2024 still applies regardless of your total earned income Your $5,800 from medical studies gives you plenty of room to make a substantial Roth contribution this year. Just make sure to set aside funds for the additional taxes you'll owe on this self-employment income.

Guys, the IRS website has free calculators that can help with this! Check out the Tax Withholding Estimator tool. You put in your gross income, deductions, and withholdings, and it gives you an estimate of your refund or amount owed. It's at irs.gov - way better than trying to do the math yourself and getting confused between net and gross.

Based on your numbers, you should definitely be using your $97,000 gross income as your starting point. Here's a rough calculation for your situation: Gross income: $97,000 Less standard deduction (2024): $14,600 (assuming you're single) Less your other deductions: $6,300 Taxable income: ~$76,100 For someone with $76,100 in taxable income, the federal tax would be roughly $12,000-13,000 depending on your filing status. Since you paid $9,400 in withholdings, you might actually owe a bit more rather than getting a refund. Of course, this is just a rough estimate and doesn't account for credits, state taxes, or other factors that could significantly change the outcome. But it gives you a ballpark idea of where you stand. The key thing to remember is always start with that gross income figure from your W-2!