Has anyone found a good way to track foreign taxes throughout the year? I always get surprised by how much foreign tax I've paid when tax forms arrive in January. Trying to stay under that $300 threshold.

This is a really helpful thread! I'm dealing with a similar situation where I have about $450 in foreign taxes from my Vanguard Total International Stock Index Fund. I was also confused about why my tax software was showing different results when I experimented with the amounts. What I learned from my tax preparer is that the Form 1116 limitation formula can be especially harsh if you have a lot of domestic income relative to your foreign dividend income. In my case, the foreign dividends were only about 2% of my total income, so the limitation calculation really reduced my available credit. One thing that helped me understand this better was looking at the actual Form 1116 instructions and working through the calculation manually. The limitation is designed to prevent you from using foreign tax credits to offset U.S. taxes on U.S. income, which makes sense conceptually but can be frustrating when you see that full credit amount sitting there unused. For anyone dealing with this, make sure you're also checking if you can carry forward any unused foreign tax credits to future years - that's on Form 1116 as well and could help recover some of that "lost" credit over time.

I filed mine last April and got it in July. Make sure you filled out everything correctly cause one mistake and they'll send it back

I'm going through the exact same thing right now! Filed my injured spouse form in December and it's been crickets ever since. The anxiety is real when you're counting on that money. From what I've researched, the processing times can vary wildly depending on how backed up they are. I've been checking my transcript weekly (much more reliable than WMR like others mentioned) and at least I can see they received everything. Hang in there - we're all in this waiting game together! 🤞

If the direct deposit fails and you're waiting for a paper check, make sure your address is current with the IRS! I learned this the hard way last year when my check got sent to my old apartment. You can update your address by filling out Form 8822 but it might be too late if the check is already being processed.

I'm dealing with a similar situation right now - my direct deposit info got messed up and I'm stressed about waiting for a paper check. Based on what everyone's sharing here, it sounds like there are a few things you can try: 1. Call the IRS directly at 1-800-829-1040 ASAP - some people have had luck changing their info before processing is complete 2. Contact Venmo support to see if they'll still accept the deposit even with the suspension (like LilMama23 mentioned) 3. If you do end up waiting for a paper check, those tracking tools people mentioned might help reduce the anxiety of not knowing what's happening The most important thing seems to be acting fast since once the refund is fully processed, your options become pretty limited. Good luck with getting this sorted out!

Anyone know if this applies to ACTC (Additional Child Tax Credit) too? My tax software is giving me both EIC and ACTC even though my divorce decree says my ex claims our son this year.

This is exactly the kind of confusion that trips up so many divorced parents! Your tax software is actually correct - you CAN claim the Earned Income Credit even though your ex will be claiming the Child Tax Credit for your daughter. The key thing to understand is that the IRS treats these as completely different types of benefits. The EIC is what's called a "custodial benefit" - it goes to the parent the child actually lived with for more than half the year, regardless of any custody agreements about who claims the child as a dependent. Since your daughter lived with you for more than 6 months, you qualify for EIC based on your income. Your ex can still claim the Child Tax Credit because your custody agreement gives him the right to claim her as a dependent, but that doesn't affect your EIC eligibility at all. Make sure you keep good records showing your daughter lived with you for more than half the year (school records, medical records, etc.) in case the IRS ever questions it. But you're absolutely entitled to that EIC - don't leave money on the table because of bad advice!

My sister works for the IRS (not speaking officially ofc) and she always says they have bigger fish to fry than chasing people over a few dollars. Their computer matching system might catch it, but most likely it would fall below their internal threshold for sending notices.

I'm an EA and deal with these situations regularly. For $12 in qualified dividends, you're looking at maybe $1-3 in additional tax depending on your bracket. The practical reality is that the IRS automated matching system might flag it, but it would likely fall below their enforcement threshold. That said, if you want to be 100% compliant, you can file Form 1040X. Most tax software charges around $40-60 for amendments, so you'd be paying significantly more than the actual tax owed. My recommendation for clients in similar situations: Keep the 1099-DIV with your tax records and document your decision. If you ever get a notice (highly unlikely for this amount), you can respond showing you received the document after filing and the minimal tax impact. The IRS is much more understanding when they see you have the documentation and there's clearly no intent to evade taxes.