Has anyone dealt with state taxes on sports betting? I'm in New Jersey and my state treats gambling losses differently than the federal government. Just wondering how others handle this.

Just wanted to add something that helped me last year - make sure you're keeping detailed records throughout the year, not just at tax time! I learned this the hard way when I got audited. The IRS wanted to see: - Date and time of each bet - Type of bet (spread, moneyline, over/under, etc.) - Amount wagered - Amount won or lost - Which platform/sportsbook Most betting apps will let you export this data, but it's much easier to stay organized as you go rather than trying to reconstruct everything in March. I started using a simple spreadsheet to track my sessions weekly, and it made tax prep so much smoother this year. Also, don't forget that if you had any promotional bets or bonus winnings, those count as taxable income too! The sportsbooks usually include these in your annual statements, but it's good to be aware of it.

Don't forget another option - if your MAGI is too high for deductible traditional IRA contributions, consider the backdoor Roth IRA strategy. You contribute to a traditional IRA (non-deductible) then immediately convert it to a Roth IRA. As long as you don't have other traditional IRA assets, this can be a clean way to still get money into a Roth IRA even when you're above the direct contribution income limits. Make sure you file Form 8606 to report the non-deductible contribution.

Great question! Let me break this down clearly for you. Since you've maxed out your 401(k), your ability to deduct your own traditional IRA contribution depends on your exact MAGI. For 2024, if you're married filing jointly and covered by a workplace plan, the deduction phases out between $123,000-$143,000. However, your non-working spouse has much more favorable limits! Since only you participate in a workplace plan, your spouse can fully deduct their $7K IRA contribution as long as your joint MAGI stays under $230,000. Even if your MAGI is above $143K (eliminating your deduction), your spouse can still get the full deduction. One important caveat that others haven't mentioned: you need at least $14K in earned income to make both contributions. Your spouse's $2K in capital gains doesn't count as earned income for contribution purposes - only your wages/salary count toward the $14K requirement. And yes, any IRA deductions you qualify for are "above-the-line" deductions that reduce your AGI before applying the standard deduction. So if you can deduct the full $14K, that would be in addition to your ~$29K standard deduction. Given your situation, I'd recommend calculating your exact MAGI first to see where you stand in the phase-out ranges before making the contributions.

Let me drop some knowledge about this situation and what you can do: 1. EIC claims automatically get extra scrutiny due to the PATH Act 2. Your timeline is actually still within normal processing windows 3. Without seeing your transcript codes, it's hard to tell exactly what's happening 4. Best move right now is to get your transcript analyzed properly I highly recommend using taxr.ai - it's been a game changer for understanding these situations. For $1, it'll analyze your transcript and tell you exactly what's going on, potential delays, and when to expect your refund. Way more reliable than playing guessing games. The tool has saved me and many others hours of stress and confusion. Keep in mind that calling the IRS usually won't help at this stage - they'll just tell you to wait. At least with the AI analysis, you'll know exactly what's happening with your specific case.

I'm in a similar situation - filed on January 30th with EIC and still stuck on "Your tax return is still being processed" with no movement past the "Received" stage. It's been really frustrating checking the app every day and seeing the same message. From what I've read, EIC returns do take longer because of the PATH Act requirements, but 3+ weeks does seem like a long time. Have you tried checking your actual tax transcript on the IRS website? Sometimes that shows more detailed information than the app, including any hold codes that might explain the delay. I've been debating whether to call the IRS customer service line, but from what others have said it sounds like they'll just tell us to wait longer. The whole process is really stressful when you're counting on that refund!

keep checking your transcripts! sometimes WMR doesnt update but transcripts will show movement

I feel your pain! I was stuck with the exact same "still being processed" message for about 6 weeks last year. The waiting is absolutely brutal, especially when you're counting on that money. What helped me was setting up account transcripts online - sometimes they show updates before WMR does. Also, if you haven't already, make sure there are no issues with your bank account info or any changes needed. The IRS customer service line is a nightmare to get through, but if you hit the 8+ week mark, it might be worth the wait. Hang in there, it will eventually move! 🤞

The IRS is such a joke fr. Why does it take 2 months to verify someone's identity in 2025 smh

I feel your pain! I'm going through the exact same thing - filed as single, verified identity about 3 weeks ago, and still getting that same "being processed" message every single day. It's so frustrating because you want to check for updates but know deep down it's probably going to be the same message. The transcript suggestion from others here is solid advice though. I finally checked mine last week and it actually showed some processing codes that gave me a better idea of where things stand, even though WMR was still showing the generic message. Hang in there - sounds like most people are seeing movement around the 4-6 week mark after verification!