Just to add a practical tip - make sure whoever claims the kids has their Social Security numbers correct on the tax return. The IRS automatically checks this, and if the numbers don't match their records, it will trigger a delay or rejection of your return.

This is such a tricky situation, and you're definitely not alone in being confused! From what you've described, there are actually several ways you could handle this, and the "best" approach depends on running the numbers. Since your partner is providing all the financial support, they could potentially claim you as a qualifying relative (you'd meet the income test with $0 earnings and the support test). For the children, it gets more complex - your 2-year-old with your current partner would likely qualify as their dependent, but your 6-year-old from a previous relationship might still be better claimed by you since you're the custodial parent. One important thing to consider: even with zero income, you can still file a tax return and potentially receive refundable credits like the Additional Child Tax Credit. Sometimes this results in a better overall tax situation for your household than having your partner claim everyone. I'd strongly suggest running calculations both ways - having your partner claim everyone versus you filing separately and claiming the kids. The IRS Publication 501 has detailed dependency tests that can help you determine who qualifies to claim whom. Don't forget about the Child and Dependent Care Credit too if you're planning to return to work and will need childcare!

I went through something very similar with payusatax earlier this year and want to share what finally worked for me. After getting nowhere with their phone support, I found an old forum post suggesting to try logging into your payusatax account using the email address you used for payment rather than trying to search by confirmation number. When I did this, I was able to access a "Payment History" section that showed my EFT reference number - it was listed under a tab called "Federal Tax Payments" that I had completely missed before. The number was formatted differently than I expected (started with "EFT" followed by about 15 digits). If you can't remember which email you used or if you still can't access the account, there's another option: The IRS has a "Payment Verification" form (Form 3949-A) that you can submit along with your proof of payment. It takes longer to process, but they can manually research and apply your payment even without the EFT number. Also, make sure to call the IRS and request that they place a "payment tracer" on your account. This stops penalties from accruing while they investigate. You'll need your SSN, the payment amount, and the date you made the payment. They should be able to do this even if payusatax is being unresponsive.

I'm dealing with a very similar situation right now and this thread has been incredibly helpful! I made a payment through payusatax back in March and just got a notice saying the IRS never received it. Like others mentioned, payusatax customer service is completely unresponsive. One thing I wanted to add that might help others - if you're using a business credit card or bank account, sometimes the transaction details are more comprehensive than personal accounts. I called the business line at my bank and they were able to provide me with what they called an "ACH trace number" that wasn't visible in my online banking. Also, for anyone still struggling to reach the IRS by phone, I've found that calling right when they open (7am local time) significantly reduces wait times. I got through in about 20 minutes yesterday versus the 2+ hour waits I was experiencing calling later in the day. The agent I spoke with was actually very understanding about payment processor issues and said they see problems with payusatax fairly regularly. She was able to put a temporary hold on penalties while I work on getting the documentation sorted out. Don't give up - there are people at the IRS who want to help resolve these situations!

To all those having trouble reaching a human at the IRS. I just ran across this video that gave me a shortcut to reach a human. Hope it helps! https://youtu.be/wMf29SmRU-I

I've been dealing with error 8028 for weeks now when trying to access my tax transcripts. It's frustrating because I'm already verified with ID.me and can access other government services without issues. Has anyone found a reliable workaround besides calling the IRS directly? The wait times are brutal and I just need to check my transcript status. Any recent success stories would be appreciated!

Just wanted to add that if you're still confused about your tax code after reading all these helpful explanations, you can also check your Personal Tax Account online at gov.uk. It shows your current tax code and explains why you have it - really useful for understanding if it's correct for your situation. I discovered mine was wrong last year (I was on an emergency code for months without realizing) and was able to get it corrected through the online service. It also shows if you're due any refunds or owe additional tax, which can be really helpful for planning your finances.

The 1242L tax code is actually the standard code for most people in the UK for the 2024-25 tax year. The number 1242 represents your personal allowance of £12,420 - this is the amount you can earn before paying any income tax. The 'L' suffix confirms you're entitled to the standard personal allowance. So with 1242L, you won't pay income tax on your first £12,420 of earnings in the tax year. Anything you earn above that gets taxed at 20% (basic rate) up to £50,270. Since you mentioned you have one full-time job with no complications, this code sounds absolutely correct for your situation. Your employer uses this code to work out how much tax to deduct from each paycheck throughout the year. If you're paid monthly, they'll divide your annual allowance by 12 and only tax you on earnings above that monthly threshold.

One thing nobody's mentioned - if you drive a LOT for business, sometimes the actual expense method is better than the standard mileage rate. With an S Corp, you can have the company own the vehicle or you can own it and get reimbursed for actual expenses. Has anyone used TurboTax for S Corps? Does it handle this well?

This is exactly why I switched from doing my own S Corp taxes! The mileage deduction issue drove me crazy for years. I was making the same mistake as CPA #1 suggested - putting everything on Schedule C on my personal return. What finally clarified everything for me was understanding that once you elect S Corp status, you become an employee of your own corporation. Employees can't deduct unreimbursed business expenses anymore (thanks to the 2017 tax changes), so the mileage deduction has to come from the business side. The solution that worked for me: I set up a simple accountable plan for my S Corp (literally just a one-page document), track all my business miles in a spreadsheet, and submit monthly expense reports to myself as the business owner. Then I reimburse myself at the standard rate and deduct that reimbursement as a business expense on the S Corp return. My tax software (I use FreeTaxUSA Business) doesn't have a specific mileage field either, so I just enter the total calculated amount under "Other Deductions" with "Mileage Reimbursement" as the description. Been doing it this way for three years now with no issues. The key is having that paper trail - the accountable plan, detailed mileage logs, and expense reports showing you properly requested reimbursement from your S Corp before taking the deduction.