Has anyone used QuickBooks Self-Employed for tracking vehicle expenses? I'm wondering if it's worth the subscription for auto-categorizing my van expenses and tracking mileage.

One thing to consider that hasn't been fully addressed is the cash flow impact of your decision. With Section 179 deduction on a purchased van, you get a huge tax benefit upfront but you're also tying up a lot of capital (or taking on debt payments). As a fellow event photographer, I know how unpredictable our income can be - some months are feast, others are famine. Leasing gives you more predictable monthly expenses and preserves your cash flow for other business investments like new equipment or marketing. That said, if you're confident in your revenue growth (35% is impressive!) and have good cash reserves, buying with Section 179 could save you thousands in taxes. Just make sure you can handle the financial commitment without putting your business at risk during slower periods. Also, don't forget to factor in maintenance costs - with a lease, major repairs are usually covered, but with ownership, that's all on you. Cargo vans are generally reliable, but when you're loading/unloading heavy equipment daily, things can wear out faster than expected.

I've been dealing with ITIN employees for about two years now in my construction business, and I wanted to share a few practical tips that might help other employers: First, always keep detailed records of the work authorization documents you verify during the I-9 process. This is separate from the tax ID issue but equally important. Some of my ITIN employees had employment authorization documents that were temporary, so I had to track renewal dates. Second, double-check that your business insurance and workers' compensation policies don't have any special requirements for employees with ITINs. Most don't, but it's worth confirming with your insurance agent. Finally, if you use a payroll service, make sure they're experienced with ITINs before you hire the employee. I had one service that kept "correcting" the ITIN back to look like an SSN, which created problems with our filings. Now I always test the system with a sample ITIN before processing actual payroll. The good news is that once you get the systems set up properly, it's really no different from processing any other employee's taxes. The IRS treats the income reporting exactly the same way.

Great question about tracking renewal dates! I use a simple spreadsheet with columns for employee name, document type, issue date, and expiration date. I set up calendar reminders 90 days and 30 days before each expiration so I can give the employee plenty of notice to renew their authorization. Some document types like EADs (Employment Authorization Documents) are only valid for specific periods, so staying on top of this is crucial. For direct deposit with ITINs, I haven't had any major issues, but some banks do ask additional questions for compliance reasons. Make sure you have a copy of the employee's ITIN authorization letter from the IRS (CP 565) if they have one - this can help verify the legitimacy of the number. Most banks will process direct deposits normally once they understand you're following proper employment verification procedures. One tip: if your bank seems unfamiliar with ITINs, you might want to speak with a business banker rather than a regular teller. Business bankers typically have more experience with these situations and can set up the direct deposit without unnecessary delays.

This is definitely concerning and you're right to ask for help! As someone who went through a similar situation, I'd recommend documenting everything carefully. Take photos of the form 13873-E and any envelope it came in - sometimes the postmark or processing center information can be helpful. Since you've never filed taxes, there's really no legitimate reason for anyone to request your tax transcript unless it's identity theft or a clerical error. The fact that it failed due to an "incomplete or missing address" actually suggests someone may have tried to use outdated or incorrect information about you. Beyond calling the IRS identity theft hotline that others mentioned, I'd also suggest: 1. File a police report for potential identity theft - you'll want this documentation 2. Consider placing a fraud alert on your credit (this is different from a freeze and lasts 1 year) 3. Keep detailed records of all your communications about this issue The good news is you caught this early! Most identity theft cases that start with transcript requests get much worse if ignored, but you're being proactive. Don't let anyone convince you this is "just a mistake" until you've verified it with the IRS directly.

This is really scary but you're doing the right thing by reaching out! I'm a tax preparer and I see situations like this occasionally. Form 13873-E specifically deals with failed Form 4506-C requests, and since you never submitted one, this is definitely a red flag. Here's what I'd recommend doing immediately: 1. Call the IRS Identity Protection Unit at 800-908-4490 (as others mentioned) - they're specifically trained for these situations 2. When you call, have the form ready and ask them to check if there are any other transcript requests or suspicious activity on your account 3. Request a copy of your tax account transcript (Form 4506-T) to see if there's any other activity you're unaware of The silver lining is that whoever tried this failed because of the address mismatch - that actually protected you in this case. But you need to find out who attempted this and make sure there aren't other attempts you don't know about. Also, since you work part-time, you might actually need to file a tax return even with low income if you had federal taxes withheld - you could be due a refund! But that's a separate issue to deal with after you resolve this identity concern. Please update us on what the IRS tells you - this kind of information really helps other students recognize these warning signs.

Has anyone used TurboTax for reporting seller financing? I'm wondering if it handles Form 6252 correctly or if I should just go to a CPA this year.

Great thread! I'm also going through seller financing for the first time. One thing I learned from my accountant that might help - make sure you're keeping detailed records of ALL the closing costs and expenses related to the sale, not just the payments you receive. Things like title insurance, attorney fees, recording fees, etc. can all be added to your basis, which reduces your taxable gain. Also, if you're paying any ongoing expenses like property management fees or collection costs, those might be deductible against the interest income you're reporting. Another heads up - if your buyer ever defaults and you have to foreclose, that creates a whole different set of tax implications. The IRS treats it as a separate sale transaction, so you'd need to report any additional gain or loss at that point. Hopefully it doesn't come to that, but it's worth understanding upfront. Has anyone dealt with state tax requirements for seller financing? I'm in California and trying to figure out if there are additional state forms beyond the federal ones.

Has anybody used H&R Block software for filing Form 709? Does it walk you through which schedules to fill out based on your situation? I'm trying to decide if I should use software or just fill out the paper form myself.

I went through this exact same confusion last year when I had to file Form 709 for the first time! The key thing to understand is that Schedule D is ONLY for Generation-Skipping Transfer (GST) tax, which applies when you're making gifts to people who are two or more generations below you. Since you're giving to your niece, she's considered one generation below you (not a "skip person"), so you can completely skip Schedule D. You'll only need to complete Schedule A to report the gift details and potentially Schedule C if you need to calculate any gift tax (though with the current lifetime exemption being over $13 million, you probably won't owe any actual tax). The IRS instructions can definitely be overwhelming, but for your straightforward gift to a niece, you're dealing with a much simpler situation than the forms make it seem. Focus on Schedule A and don't stress about Schedule D - it literally doesn't apply to your case!