The IRS Publication 1345 section on authentication is confusing because it has different requirements for different situations. For returning clients where you've previously verified their identity in person, the standards are different than for new remote clients. I think Encyro is focusing on their compliance with the minimum requirements for existing client relationships, not the more stringent requirements for establishing new client relationships remotely. That might explain the disconnect you're experiencing.

I've been dealing with this exact issue and found that the key is understanding that IRS requirements vary based on what specific action you're taking. For document collection from clients, text authentication combined with encryption can be sufficient under Publication 4557's "reasonable safeguards" standard. However, if you're using the platform to verify taxpayer identity for e-filing purposes, that falls under the more stringent Publication 1345 requirements. What helped me was creating a compliance matrix that maps different activities (document collection, identity verification, e-filing authorization) to their specific IRS requirements. This way I know exactly which authentication method to use for each situation. I'd recommend documenting your processes clearly so you can demonstrate compliance if ever questioned. The bottom line is that Encyro's text authentication might be compliant for some uses but not others - it depends on your specific workflow and client interaction model.

Has anyone here actually taken the lump sum WITHOUT rolling it over? I'm considering just taking the hit on taxes because I need to pay off my mortgage (about $180k left). Even after taxes, I'd have enough to be debt-free, which seems worth it to me.

@CosmosCaptain - Just wanted to chime in as someone who went through this exact decision 3 years ago. I was 57 when I had to choose between monthly pension payments and a $180k lump sum. Like you, I didn't trust my company's long-term stability (and I was right - they filed for bankruptcy 18 months later). I did the direct rollover to a Traditional IRA at Vanguard, and it was absolutely the right call. The process was smoother than I expected - Vanguard walked me through everything and even helped coordinate with my pension administrator. The key thing is making sure you never personally receive the funds, which avoids the mandatory 20% withholding. Since you're 58, you'll still face the 10% early withdrawal penalty if you take distributions before 59½, but there's a workaround called the "Rule of 55" that might apply if you're separating from service in the year you turn 55 or later. However, this only applies if you leave the money in your company's 401(k) plan, not if you roll it to an IRA. Given your concerns about company stability, I'd still recommend the IRA rollover. You can always do a Roth conversion ladder later if you want to manage your tax brackets more strategically. The peace of mind knowing your money is safe is worth more than trying to optimize around the early withdrawal penalty.

Ughhh dealing with BOFA and the IRS is pure hell. I ended up having to get my congressman's office involved after 3 months of getting nowhere with my missing refund. If you're really stuck, seriously consider contacting your rep - they have caseworkers who deal with this stuff all the time and can cut through the red tape.

I'm sorry you're dealing with this frustrating situation! I went through something very similar last year. The confusion comes from the terminology - you don't actually need Bank of America to give you a "trace number." What you need is for the IRS to initiate a payment trace on their end. Here's what worked for me: First, make sure it's been at least 5 business days since the IRS says your refund was deposited. Then you have two options: 1. File Form 3911 (Taxpayer Statement Regarding Refund) with the IRS - you can download it from their website 2. Call the IRS directly at 800-829-1040 to request a payment trace When you contact the IRS, they'll handle reaching out to Bank of America through the proper banking channels. The bank doesn't provide trace numbers directly to customers - it's all handled between the IRS and the bank's ACH department. Before you do anything though, double-check the account and routing numbers you used on your tax return against your actual bank account info. A lot of times these issues happen because of a simple typo in the account number. Hope this helps and you get your refund sorted out soon!

Has anyone used TurboTax for reporting their eBay sales? Does it handle this situation well or should I use something else?

This is exactly the kind of confusion that trips up so many eBay sellers! You're absolutely right to be confused - the gross vs. net distinction is crucial here. Since you received a 1099-K showing $8,300 in gross sales, you'll need to report this income on your tax return (likely Schedule C if this is considered business activity). However, you can deduct all legitimate business expenses to get to your actual taxable profit of $5,200. Make sure you're tracking everything: eBay final value fees, PayPal fees, shipping costs you paid, cost of goods sold (what you originally paid for the items), packaging materials, etc. Keep good records of all these expenses. One thing to consider - if you're regularly buying items specifically to resell for profit, the IRS may consider this a business rather than occasional personal sales. This affects how you report it but doesn't change the fact that you only pay taxes on net profit, not gross sales. The 1099-K threshold is indeed $600 now, so anyone selling over that amount will get one, but that doesn't mean you automatically owe taxes on the full amount shown.

TaxSlayer isn't the problem. The IRS is just swamped right now. I'm a tax preparer and clients who filed in January with simple returns are getting paid, but anyone with credits or who filed after Feb 1st is seeing delays across ALL software platforms. Be patient, it'll come!

Filed with TaxSlayer on Feb 5th and still waiting too! I have EIC and ACTC on my return, so sounds like we're all in the same boat with those credits causing delays. My transcript updated yesterday with a 971 notice date but no deposit date yet. At least knowing it's normal processing and not an error makes me feel better. Hang in there - seems like March is when most of us with credits will see movement!