This is such a helpful thread! I'm dealing with the exact same RSU confusion this year. One quick question - when you're entering the correct cost basis from the supplemental statement, do you need to make any adjustments for the shares that were automatically sold to cover taxes at vesting? My company withheld about 40% of my vested shares for tax withholding, so I'm not sure if I should be tracking the cost basis for those withheld shares differently since I never actually received or sold them myself. The supplemental statement seems to only show the shares I actually sold later, not the ones that were automatically withheld. Also seeing a lot of mentions of taxr.ai in this thread - definitely going to check that out since TurboTax is making this way more complicated than it needs to be!

This thread has been incredibly helpful! I'm a newcomer dealing with my first year of RSU taxation and was completely overwhelmed by the double reporting issue everyone's describing. One additional tip I discovered while researching this - if you're using tax software that doesn't handle RSUs well, make sure to keep detailed records of all your equity transactions. I created a simple spreadsheet tracking each vesting date, number of shares, vesting price, and any subsequent sales with dates and prices. This made it much easier to cross-reference with my W2 and 1099 documents. Also, for anyone else just starting with RSUs, it's worth understanding the tax implications before you sell. I almost made the mistake of selling everything at once without realizing the capital gains implications if the stock had appreciated significantly since vesting. Thanks to everyone who shared their experiences with taxr.ai and the IRS contact service - definitely going to look into both of those resources!

Don't forget that your employer legally has to provide your W-2 by January 31st. If they haven't, they're actually violating tax law. Maybe try emailing or calling them and mention this deadline - sometimes just letting them know you're aware of the legal requirement can light a fire under them!

Great advice in this thread! Just wanted to add that if you do end up needing to file Form 4852 (substitute W-2), make sure to keep detailed records of everything - your final pay stub, any correspondence with the employer, dates you tried to contact them, etc. The IRS may ask for documentation later to support your substitute form. Also, one thing I learned the hard way - if your short-term job was in a different state than your main job, you might need to file tax returns in both states. Each state has different rules about when you need to file, so double-check the requirements for wherever that summer job was located. Some states require filing even for small amounts of income. Good luck with getting this sorted out! It's stressful but definitely manageable with the right approach.

To directly answer your question - IRS computers automatically match all W2s to tax returns. If you leave one out, you'll almost definitely get a letter from the IRS eventually (called a CP2000 notice) saying you underreported income. They'll recalculate your taxes, add interest and possibly penalties, and send you a bill for the difference. It's WAY easier to just include it now than deal with that headache later!

As someone who works in tax preparation, I can confirm what everyone else is saying - you absolutely MUST include ALL W2s, no matter how small. The IRS has an automated matching system that compares W2s from employers to what you report on your return. Here's what happens if you leave it out: The IRS will eventually send you a CP2000 notice (usually 12-18 months later) showing the discrepancy. They'll recalculate your tax, add the missing income, charge interest from the original due date, and possibly add penalties for underreporting. For your $1,688 W2, you're probably looking at maybe $200-400 in additional tax (depending on your bracket), but if you get caught later, you could owe that PLUS interest and penalties that could easily double the amount. The good news is that if taxes were withheld from that small job, you might actually get some of that back as a refund! Many people are surprised to find they get money back when they include all their W2s correctly. Just file it properly now - any tax software will handle multiple W2s easily. It's really not worth the risk of trying to hide it.

just fyi for anyone reading this - i applied for an itin by myself last year and it was actually not that hard. filled out W-7 form, attached my tax return, went to my countries consulate to get certified copies of my passport (didn't have to mail original), and sent everything to the address on the form. took about 8 weeks but got my itin no problem. saved like $300 that a tax preparer wanted to charge me lol

One thing I learned from my ITIN application experience is to double-check which exception category you fall under before submitting. The IRS has 13 different exceptions that allow you to apply for an ITIN without submitting a tax return at the same time (like if you're subject to backup withholding, or opening a bank account, etc.). I initially thought I had to file a tax return with my ITIN application, but it turns out I qualified for exception (d) because I was receiving income subject to tax treaty benefits. This saved me from having to prepare a tax return before getting my ITIN. The exceptions are listed in the W-7 instructions, but they're not super clear about when each one applies to your situation. Also, if you do need to submit original documents and you're worried about mailing your passport, you can send it via certified mail with return receipt requested. The IRS recommends this and it gives you tracking plus proof of delivery.

I'm currently going through something similar - got my audit notice last month for dependent verification. One thing I learned early on is to organize everything by dependent and by requirement. The IRS typically wants proof of four things: relationship, residency, age, and support. For relationship: birth certificates, adoption papers, or court custody documents. For residency: school enrollment records, medical records with your address, or utility bills showing the dependent lived with you. For age: birth certificates usually cover this. For support: keep receipts for food, clothing, medical expenses, school costs - anything showing you provided more than half their support. Timeline-wise, mine has been about 2.5 months so far and still ongoing. The initial response took them 6 weeks to acknowledge, then they requested additional documentation. Now I'm waiting again. The key is staying proactive - don't just wait for them to respond. Call every few weeks to check status and make sure nothing got lost in their system. Also, if you're dealing with divorced parents or split custody situations, get copies of your divorce decree or custody agreement. That was the game-changer in my case - clearly showed which years I had the right to claim.

I just went through a dependent verification audit that wrapped up last month, so this is all very fresh for me! A few things I wish I had known upfront: First, the IRS audit letter will include a specific Information Document Request (IDR) that lists exactly what they want to see. Don't go overboard collecting every document you can think of - focus on what they're specifically asking for. In my case, they were questioning whether my stepson qualified as my dependent, so they wanted proof of the support test and residency. Second, the timeline really depends on how complete your initial response is. My first submission was missing a few key pieces (I didn't include utility bills showing my stepson's address matched mine), so they sent a second request. That added another 6 weeks to the process. But once I sent everything they needed, they closed the case within 3 weeks with a "no change" letter. Third, if you're claiming head of household status based on these dependents, that might also be under review. They didn't mention it in my initial letter, but it came up during a phone call with the examiner. Make sure you have documentation supporting your filing status too. The whole process took about 4.5 months from first letter to resolution, but like I said, that included my incomplete first response. If you're organized from the start, you can probably cut that timeline significantly. One last tip: scan everything before you send it. The IRS has been known to lose documentation, and you'll want copies for your records anyway.