Last year my refund was split because I had a student loan offset. Could that be what happened to you? They take part of your refund to pay federal debts before sending the rest.

Hey Andre! This is totally normal - you're not missing any money, don't worry! Federal and state refunds are processed completely separately. What you received ($3,315) was most likely your federal refund from the IRS, and your state refund should arrive in the next few weeks. The timing can vary a lot depending on your state. Some states process refunds pretty quickly after the federal one, while others can take 4-6 weeks longer, especially during busy tax season. Since you mentioned this is your first time filing, here's a quick tip: you can track both refunds separately. Use the IRS "Where's My Refund" tool for your federal refund status, and check your state's department of revenue website for the state refund tracker. Most states have their own version of this tool. Also, when your state refund does arrive, the deposit description will usually show it's from your state tax department rather than "IRS TREAS" like the federal one. Hope this helps ease your mind - you should get the rest of your refund soon!

I've been stuck with a 570 code since February 20th, and this thread has been more helpful than hours of searching the IRS website! After reading everyone's experiences, I'm realizing I need to be way more proactive. I've only been checking my account transcript sporadically, but it sounds like I should be monitoring both transcript types weekly for any changes. The local IRS office strategy is definitely something I'm going to try - I had no idea that was even an option. What's really encouraging is seeing that virtually everyone here eventually got their refund, even though the wait times seem totally random. I'm also planning to document all my attempts moving forward in case I need to escalate to Form 911 or contact my representative's office. One question for those who've been through this - when your 570 finally cleared, did you get any advance notice through transcript updates, or did the refund just appear suddenly? Trying to figure out if there are any warning signs to watch for that resolution is coming soon.

I've been stuck with a 570 code since February 16th, and reading through all these experiences has been both helpful and validating - at least I know I'm not alone in this nightmare! What strikes me most is how much more useful information is in this thread than anything available through official IRS channels. I'm definitely going to try the multi-pronged approach several of you have suggested: checking both transcript types weekly, calling my local IRS office during afternoon hours instead of the main number, and preparing to file Form 911 since I'm well past 30 days. The tip about asking agents to add a "taxpayer contact" note is brilliant - I never would have known to do that. It's frustrating that we have to become IRS experts just to get basic information about our own returns, but I appreciate everyone sharing their specific strategies and timelines. For those still waiting like me, it's reassuring to know that virtually everyone eventually gets resolution, even if the process is completely unpredictable.

Did you efile both returns through the same tax software? I had an issue where I used TurboTax for current year but FreeTaxUSA for prior year and somehow the prior year one got stuck in limbo for like 3 months.

I went through something very similar last year and it was incredibly frustrating. One thing that helped me was requesting my tax transcripts directly from the IRS website (irs.gov) - you can get them online instantly if you can verify your identity. The transcript will show you if they actually received your 2023 return and what status it has in their system. Even if "Where's My Refund" shows nothing, the transcript often has more detailed information. Look for your "Account Transcript" for tax year 2023 - it'll show transaction codes that can tell you exactly what's happening with your return. Common codes like 150 (return filed) or 846 (refund issued) will give you a clearer picture. If the transcript shows they received it but it's just stuck in processing, at least you'll know it didn't disappear. And if it doesn't show up at all on the transcript, that could indicate the e-file wasn't actually accepted, even though you got a confirmation. Worth checking before spending more time on hold with the IRS!

Based on what everyone's shared here, it sounds like the key is really treating this as a legitimate business from day one. I'd recommend starting with a solid business plan that shows your intent to expand beyond just family rentals - maybe outline how you'll advertise on platforms like Turo, Facebook Marketplace, or even local classified ads within the first 6 months. One thing I haven't seen mentioned is that you'll want to check your state's requirements for car rental businesses too. Some states require special licenses or permits for vehicle rental operations, even small ones. Also, make sure your auto insurance covers commercial rental activity - most personal policies don't, and you could be looking at serious liability issues if something happens during a rental. The documentation piece that Mohammad mentioned about his brother's audit is crucial. I'd suggest keeping a detailed log of every inquiry, rental, and business expense from the very beginning. Even if someone calls asking about rates but doesn't rent, document it. This shows you're actively trying to build a customer base beyond family members. For the Section 179 deduction, remember that's only available if the vehicle is used more than 50% for business purposes. With just monthly rentals to your parents, you might not hit that threshold, so regular depreciation might be your only option initially.

One thing I'd add to all this great advice is to make sure you understand the hobby loss rules (Section 183). The IRS has a "3 out of 5 years" test where if your business doesn't show a profit in at least 3 out of 5 consecutive years, they might reclassify it as a hobby and disallow your business deductions. This is especially important for a single-car rental business with limited customers. You need to show that you're genuinely trying to make money, not just offsetting the costs of owning a second car. Keep detailed records of your marketing efforts, rental inquiries (even the ones that don't convert), and any steps you take to expand the business. Also, regarding the $24,000 car purchase - if you do go the Section 179 route, there are annual limits on the deduction ($1,160,000 for 2023, but with phase-out rules). For luxury vehicles there are also additional restrictions, though your price range probably won't trigger those. I'd strongly recommend consulting with a tax professional before making the purchase, especially given the family rental aspect. A few hundred dollars in professional advice upfront could save you thousands if you get audited later.

has anyone looked into the tax treaty between Paraguay & the US? that could be super important for determining how ur income gets taxed. also check if Paraguay has a territorial tax system (only taxes income earned within the country) or worldwide. also whats ur citizenship? that matters a ton for how this all shakes out. if ur a US citizen u cant escape US tax filing no matter what u do lol

One thing I haven't seen mentioned yet is the potential impact of the UK's IR35 rules on your situation. Since you're working remotely for a UK recruitment company, they might still consider you a "disguised employee" rather than a genuine contractor, which could affect how your income is classified and taxed. The UK has been cracking down on contractors using offshore structures to avoid employment taxes, especially in the recruitment/staffing industry. Even if you set up a US LLC, HMRC might still view your relationship with the UK company as employment rather than B2B services. This could create complications because: 1) The UK company might be required to operate PAYE (Pay As You Earn) and deduct taxes 2) You might still be liable for UK National Insurance contributions 3) The income classification could affect how it's treated under any tax treaties Before you commit to the LLC structure, I'd strongly recommend getting clarity from the UK company about how they plan to classify and pay you. Some companies won't work with contractors through foreign entities specifically because of IR35 concerns. You might want to consult with a UK tax advisor who specializes in IR35 alongside your international tax planning, as this could significantly impact the effectiveness of any offshore structure you choose.