This is correct. The IRS verification process works like this: • They check that your name matches the ID number • They verify your date of birth matches their records • They confirm the ID number itself is legitimate • They do NOT check expiration status with state DMVs This is why people can file successfully even with expired IDs.

I had no idea about any of this until I went to file this year! My tax preparer asked for my driver's license and when I handed it to her, I suddenly realized it had expired on my birthday last month. She just laughed and said it happens all the time and wouldn't affect anything. Did you have to do anything special when you filed with the expired license?

That sounds extreme. Did you go through the voluntary disclosure program or did they find you first? I thought penalties were usually waived if you file the late FBARs before they contact you.

I'm calling BS on this. The $10,000 non-willful FBAR penalty is the MAXIMUM per violation, not the standard. And if you voluntarily disclose before being contacted, they almost never impose penalties for non-willful violations. Either there's more to your story or you're exaggerating.

This is incredibly helpful - thank you for the professional perspective! One question: when you mention using IRS published exchange rates for each year, where exactly do I find those? I've been looking on the IRS website but it's a bit confusing to navigate. Also, for the reasonable cause statement with the delinquent FBAR filing, is there a specific format or length they expect, or can it just be a brief explanation?

You can find the IRS yearly average exchange rates at irs.gov - search for "Yearly Average Currency Exchange Rates" or go directly to the international section. They publish tables with monthly and yearly averages for most major currencies including SGD (Singapore Dollar). For the reasonable cause statement, keep it brief and factual - usually 1-2 paragraphs explaining that you genuinely forgot about the account after moving to the US, that it was established by family members, and that you're now voluntarily filing to correct the oversight once you discovered it. The IRS prefers straightforward explanations over lengthy justifications. The key is showing it was non-willful (honest mistake) rather than intentional tax avoidance. Your situation - a forgotten family-established account that you're proactively disclosing - fits perfectly into the reasonable cause category.

oh that makes sense! i'll make sure to forward it to them when it comes. do you know if there's an age limit for the american opportunity credit? i turned 25 last year if that matters.

Age 25 shouldn't disqualify you from the American Opportunity Credit! The main requirements are that you're pursuing a degree, enrolled at least half-time for at least one academic period during the tax year, and haven't already used the credit for 4 tax years. There's no specific age cutoff. Since you graduated in May 2024, this would likely be your final year claiming it anyway. Your parents should definitely look into it - the credit is worth up to $2,500 and is partially refundable, so it's one of the most valuable education benefits available. Just make sure to give them your 1098-T as soon as you receive it!

This is really helpful advice about comparing who should claim the credits! I'm actually in this exact situation - just graduated and starting my first full-time job, but my parents might still be able to claim me as a dependent for 2024 since I was a student for most of the year. Do you know how we can figure out which option gives us the better tax benefit? Is there a way to calculate this or should we just try both scenarios when preparing our taxes?

Thanks, I didn't know about Form 843! Would this be in addition to calling them, or should I try this first? And do I need to include any specific language referring to the interest that was reported on the 1099-INT?

I would try calling first using one of the methods others suggested since that might be faster. Form 843 can take 8-12 weeks to process, sometimes longer with current IRS backlogs. On the form, specifically reference that you received a 1099-INT for interest that was never paid to you. Include the exact amount and date of the abatement approval. In Section 7 (Explanation), write something like: "I received a 1099-INT for tax year 2021 showing interest of $982.34 from an approved penalty abatement. I have not received this refund by check or direct deposit, yet I am required to pay income tax on this amount. I am requesting the IRS to issue the refund for the approved abatement amount.

Is that right? I thought you couldn't file an amended return just because you made a mistake or reported something correctly based on the documents you had at the time. The 1099-INT was technically correct from the IRS perspective.

You're absolutely right to question this. You can't amend just because you don't like reporting the income - the 1099-INT was correctly issued. However, if Mohamed never receives the actual refund after exhausting all options with the IRS, there might be grounds for an amended return based on the principle that you shouldn't pay tax on income you never actually received. But this would be a complex situation that might require professional tax advice. The better approach is definitely to get the IRS to release the stuck refund first using the methods others have suggested.

I'm in the same boat! Filed February 20th and my transcript has been showing just that "as of date" for weeks now. It's reassuring to know this is normal - I was starting to worry I made some mistake on my return. The waiting is definitely the hardest part, especially when you see other people getting their refunds already. Thanks for sharing your experience, it helps to know we're all going through this together!

This is really helpful Diego! I'm new to checking transcripts and was getting worried seeing nothing but that date. Quick question - when you say the "as of date" jumps around, does it usually move forward or can it go backwards too? And is there any pattern to when it updates, like certain days of the week? Thanks for sharing your experience!