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Did you verify if your business expenses triggered any additional review? According to the IRS processing guidelines (https://www.irs.gov/businesses/small-businesses-self-employed/business-expenses), certain Schedule C deductions can trigger additional verification steps. Have you checked your Account Transcript to see if there were any TC 420 codes that might indicate a review was conducted before issuing your DDD?
Congratulations on getting your DDD! As someone who's been through the small business filing process for a few years now, I can tell you that cycle code 0405 is actually pretty standard timing. The DDD is typically the date the funds will be available in your account, though some banks process government deposits earlier in the day. Since you mentioned this is your first time filing as a small business, you might want to start thinking about setting aside a portion of this refund for next year's quarterly estimated payments. The transition from W-2 employee to small business owner means shifting to a quarterly tax planning mindset. Also, keep good records of when your refund actually hits your account - it'll help you plan better for future years!
This is such helpful advice! I'm also a first-time small business filer and honestly had no idea about the quarterly payment thing. When you mention setting aside part of the refund for estimated payments, do you have a rule of thumb for what percentage to save? I'm worried I'll spend it all and then be scrambling come April. Also, did you find the transition from employee taxes to business taxes as overwhelming as I'm finding it right now?
Quick question - does anyone know if PayPal Friends and Family transactions over $600 are being reported to the IRS for the 2025 tax year? I thought that rule changed recently.
The threshold was supposed to change to $600 but the IRS delayed implementation. For 2024 taxes (filed in 2025), payment apps only issue 1099-Ks for transactions exceeding $20,000 AND more than 200 transactions. But this doesn't change your obligation to report income whether you get a form or not!
Just wanted to add something important that I learned the hard way - make sure you keep detailed records of ALL your transactions, not just the big ones. I had a similar situation with collectible sales through various apps (PayPal F&F, Venmo, cash, etc.) and during my audit last year, the IRS wanted to see documentation for everything. They were particularly interested in establishing a pattern of whether I was buying/selling as a hobby vs running a business. For your $8,100 sale, definitely report it as a capital gain like others mentioned, but also document any other card sales you might have done throughout the year - even small ones. The IRS looks at the bigger picture to determine if you're a casual collector or if this constitutes a business activity, which would change how the income is taxed. Bank statements, text messages, even photos of the cards can help establish your basis and the legitimacy of the transaction.
This is such good advice about keeping records of everything! I'm actually in a similar situation right now - I've been casually buying and selling sports memorabilia for a few years and never really thought about the business vs hobby distinction until now. How do you know where the IRS draws that line? Like, if I sold maybe 10-15 items last year totaling around $4,000, would that automatically make it look like a business? I've just been treating it as occasional decluttering of my collection, but now I'm worried I should have been more systematic about tracking everything from the start.
hate to be that person but last year my path message updated like 5 times b4 I actually got paid... dont get ur hopes up bestie
I feel you on the anxiety! Path message updates can be confusing - sometimes they mean progress, sometimes just system maintenance. What really helped me understand what was going on was using taxr.ai to analyze my transcript. It broke down all those cryptic codes and gave me a realistic timeline instead of just guessing. Way less stressful than constantly refreshing WMR! Worth the $4.99 to get some peace of mind about when you'll actually see your money.
Check if you have any outstanding parking tickets or court fees. That's what mine was for last year š¤¦āāļø
Had the exact same thing happen to me in 2023! The "Return is completed" status on the same day as the offset is actually good news - it means they've finished all processing and your remaining refund should be coming soon. In my case, the $243 offset was for an old unemployment overpayment I had completely forgotten about from 2020. The notice they mail you will have all the details about which agency the debt was owed to and contact info if you want to dispute it. Since your return shows "completed" on Feb 14th, if you chose direct deposit you should see the remaining refund by this coming Friday (Feb 21st) at the latest. The Michigan system is usually pretty quick once they mark it completed. Also definitely call that hotline number @Benjamin Kim mentioned - they were super helpful when I called and told me exactly what the debt was for without having to wait for the mail notice.
Jamal Wilson
That negative account balance is exactly what you want to see! The -$1,789 means the IRS owes you that amount. I went through something very similar last year with my amended return - saw the 291 code appear and then waited about 2.5 weeks before the 846 refund issued code showed up. The internal amendment from November is totally normal - the IRS often processes amendments in stages internally. Nothing you need to worry about there. One thing to keep in mind: even though your account shows the credit balance, there could still be systemic holds or reviews happening in the background. The 810 refund freeze from April might still need to be fully cleared, but often the amendment processing takes care of those automatically. Your next step is watching for code 846 with a specific date. Once that appears, you can count on getting your money on that exact date if you have direct deposit set up. The waiting is brutal but you're definitely in the final phase now!
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Jibriel Kohn
ā¢This is so helpful to hear from someone who's been through the same process! The 2.5 week timeline after the 291 code gives me hope that I won't be waiting much longer. I had no idea that the internal amendment processing could automatically clear other holds like that 810 freeze - that makes me feel a lot better about not getting any letters about it. I'm definitely going to focus on watching for that 846 code now. Thank you for the reassurance that I'm finally in the final phase after all these months of uncertainty! š¤
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Anastasia Kuznetsov
That negative account balance is definitely good news - it means the IRS owes you $1,789! I went through almost the exact same situation with my 2023 amended return. Filed in August, saw nothing for months, then suddenly the 291 code appeared in January and my refund was issued 18 days later. The code 291 for $2,592 means they've reduced your original tax assessment based on your amendment - essentially confirming that you overpaid and are owed money back. That internal amendment from November is completely normal - the IRS often processes complex amendments in multiple stages internally. Your 810 refund freeze from April was likely related to your original return, and the amendment processing should have cleared that automatically. The fact that you're seeing the 291 code means a human examiner has reviewed and approved your changes. Now you're just waiting for code 846 "Refund Issued" to appear with a specific date. Based on my experience and others I've seen, this usually happens 1-3 weeks after the 291 code shows up. Once you see that 846 code, the money will hit your account on the exact date shown. After 5+ months of waiting, you're finally in the home stretch! Keep checking weekly (not daily - it'll drive you crazy) and that 846 should appear soon.
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