Has anyone mentioned the statute of limitations here? The IRS generally has a 3-year statute of limitations for auditing returns. If these K-1s were for 2015-2021 but only issued in 2023, some of those years might be outside the normal assessment period. You might want to check if you need to file amended returns for those older years. If you do, you'll be paying taxes on income from 7+ years ago, which seems crazy unfair.

This is a really complex situation that unfortunately highlights how partnership taxation can create unfair outcomes for individual partners. Based on what you've described, it sounds like you may have strong legal grounds to pursue the distributions. The key issue here is that partnership tax law generally requires that if income is allocated to a partner (as shown on the K-1), there should be corresponding economic rights to that income. The fact that there's no written agreement limiting distributions and that the company told your husband everything would be "wrapped up" when he left actually works in your favor. A few immediate steps I'd recommend: 1) Document everything - save all K-1s, emails, and any communications about this issue, 2) Consider consulting with a business attorney who specializes in partnership disputes (many offer free consultations), and 3) Look into whether your state has specific protections for partners against phantom income situations. You might also want to contact your state's bar association for referrals to attorneys who handle partnership tax disputes on contingency - meaning they only get paid if you recover funds. Given that you're owed $48,000, this could be worth pursuing legally even after attorney fees. Don't give up on this. Companies can't just allocate income for their tax purposes while keeping all the cash without proper documentation allowing it.

pro tip: turn on notifications in the chime app. way better than checking manually every 2 seconds (speaking from experience lmao

Mine usually hits around 11am-2pm EST with Chime, but like everyone said it's pretty random. Last year I got one at 6am and another at 8pm same week 🤷‍♂️ The early deposit thing is real though - always get it 3-4 days before the official date

Quick question for anyone who's done this before - do I need to attach my wife's ITIN application to my actual tax return if I'm filing electronically? Or do I need to mail everything?

I went through this exact situation two years ago when I married my Canadian wife while we were both living in Toronto. Even though I was filing separately and she had zero US income, the IRS absolutely requires you to identify your spouse on your return - you can't leave it blank. The key thing to understand is that when you select "married filing separately" status, the IRS system needs to verify that person exists in their database, which requires either an SSN or ITIN. It's not about tax benefits - it's about identifying who your spouse is for tax purposes. For the W-7 application from abroad, you'll want to use Exception 1(d) as mentioned earlier. The documentation requirements are different when you're overseas - you don't need proof of US entry. Her passport should be sufficient as primary identification. I'd strongly recommend using a Certified Acceptance Agent (CAA) at your nearest US embassy or consulate rather than mailing original documents. They can verify her identity documents on the spot, which is much safer and faster than mailing her passport internationally. One important note: you'll need to paper file your return with the W-7 attached - no e-filing when applying for a first-time ITIN. Plan extra time for processing since everything goes through regular mail.

I had this exact situation last month! Here's what I learned: • No codes doesn't always mean no adjustments • Some adjustments happen silently at first • WMR updates AFTER transcripts in most cases • Small adjustments (under $25) sometimes happen without notice • Larger adjustments require a formal notice Anyone else notice that the IRS seems to be processing returns differently this year? My return was accepted February 2nd and I just got my deposit yesterday.

I understand your anxiety about the refund - I'm in a similar boat with my amended return! From what I've learned lurking in this community, the general rule is that no specific hold codes (like TC 570, 971, etc.) on your transcript usually means you're in the clear, but it's not 100% guaranteed. One thing that helped ease my mind was checking both my Account Transcript AND my Record of Account Transcript. Sometimes adjustments show up on one before the other. Also, if you amended paperwork, those typically take 16-20 weeks to process completely, so there's still time for codes to appear. Have you tried calling the Practitioner Priority Service line if you have a PTIN? I've heard it has shorter wait times than the regular taxpayer line. Otherwise, just keep monitoring your transcripts weekly - any major adjustments should show up there first before hitting your refund amount. Fingers crossed we both get our full amounts! 🤞

Has anyone actually tried to report a loss on line 2 of 8995-A using the Free Fillable Forms? I tried entering the negative number with a minus sign and it worked fine for me. Maybe try "-24000" instead of "(24000)" for the format?

Thanks everyone for all the helpful responses! I just tried entering my loss as "-24000" on the Free Fillable Forms and it worked perfectly. I must have been doing something wrong with the formatting before. To summarize what I learned from this thread: I definitely need to include both LLCs on Form 8995-A, with my profitable one showing $273k and the loss one as -$24k, giving me a net QBI of $249k for the deduction calculation. Since neither business is a specified service trade or business, I should be good to go. Really appreciate everyone taking the time to explain this - especially the clarification that losses from one qualified business must offset income from another. This makes total sense now, and I feel much more confident about getting this right on my return.