If you do any work from home for this 1099 income, dont forget to track utility bills, internet, part of your rent or mortgage that can be deducted as home office. And keep all reciepts for anything you buy for the work! I deducted a new laptop and even office furniture last year. The IRS let's you write off a lot more than most people realize.

Another strategy to consider is bunching deductions if you're close to itemizing. Since you have this unexpected 1099-MISC income, you might want to accelerate some deductible expenses into this tax year - things like charitable donations, state tax payments, or medical expenses if you're close to the threshold. Also, don't overlook the self-employment tax aspect. You'll owe SE tax on that $8,500 (about 15.3%), but you can deduct half of it as an above-the-line deduction. And if you set up a business entity like an LLC, you might have additional planning opportunities for future years. One last thing - if this consulting work might continue, consider setting up a separate business checking account and getting a business credit card. Makes tracking expenses so much easier and looks more professional if you ever get audited.

When you submit the late return, make sure to check if you qualify for any pandemic relief that was specific to 2020 - like the Recovery Rebate Credit if you didn't get the full stimulus payment. A lot of people forget about that when filing late 2020 returns. Also, if you're using tax software, be careful about which version you buy. Some companies charge extra for previous year returns or don't include all the forms needed. FreeTaxUSA still has their 2020 version available for a reasonable price if you're looking for options.

Don't panic - you still have time! The May 17, 2025 deadline for 2020 refunds is still a few weeks away. I went through something very similar when a small business I worked for closed during COVID. Here's what worked for me: Start by requesting your wage and income transcript online at irs.gov immediately. Even though the company is defunct, the IRS should have all the W-2 information since employers are required to submit these before they shut down. The transcript will show exactly what was reported under your husband's SSN for 2020. If you can't access the transcript online, you can also call the IRS (though expect long hold times) or mail Form 4506-T, but that takes longer to process. Once you have the wage information, you can prepare the return using any tax software - just print and mail it since e-filing isn't available for 2020 anymore. Make sure to write "2020" clearly at the top of Form 1040. One important tip: Double-check that you're claiming the Recovery Rebate Credit if your husband didn't receive his full stimulus payments in 2020. That could add $1,200-$1,800 to your refund on top of the $750 you're expecting. You've got this! Just start with getting that transcript and you'll be on your way.

I've been doing affiliate marketing for 5 years, and I just put "Digital Marketing Specialist" on my return. Never had any issues. I think people worry way too much about this field - the IRS cares WAY more about your numbers adding up than what you call yourself!

As someone who's been navigating this same question, I ended up going with "Online Marketing Consultant" on my return last year. It seemed to cover all the bases - the affiliate marketing, content creation, and promotional work I do across different platforms. What I found helpful was thinking about it from the IRS perspective: they just want to understand the general nature of how you earn your income. Whether you call it "Digital Marketer," "Affiliate Marketer," or "Online Publisher," they're all painting the same basic picture of someone who earns money through online promotional activities. The more important thing I learned is making sure you're tracking all your business expenses properly - things like your website hosting, marketing tools, home office space, etc. Those deductions can really add up and have a much bigger impact on your tax situation than whatever you put in the occupation field!

Something nobody has mentioned yet - if you have significant capital gains AND you're married to a foreign national, you need to be extremely careful about FATCA and FBAR reporting requirements. I made the mistake of not filing these correctly and got hit with a $10,000 penalty. Make sure you file FinCEN Form 114 (FBAR) if you have foreign accounts with a combined value over $10,000 at any point during the year. And depending on your total assets, you might need Form 8938 too. The penalties for not filing these are ridiculous compared to regular tax filing issues.

Been living in Thailand for 8 years, married to a Thai citizen for 5. I went through exactly what you're describing. What I learned: 1) Your marriage is valid for US tax purposes as long as it was legal where performed 2) Filing jointly usually only makes sense if your spouse has minimal income 3) Capital gains are taxed the same regardless of filing status - the rates don't change 4) What DOES change with filing status is your standard deduction and tax brackets For $145k in cap gains, if that's your only US taxable income, filing jointly doubles your standard deduction from $12,950 to $25,900 (for 2022, will be higher for 2025), which helps a bit. But the real question is what other income you have and what your spouse earns.

Has anyone dealt with currency conversion issues in this kind of situation? When my cousin sold property in Brazil, the exchange rate fluctuated significantly between when the sale happened and when the money actually hit his US account. The IRS wanted him to use the exchange rate from the date of sale, not the rate from when he received the money, which made a big difference in the reporting amounts.

This is exactly the kind of complex international tax situation where getting proper guidance upfront can save you from major headaches later. A few additional considerations for your situation: Since you're married but filing as single, you'll definitely want to clarify your correct filing status with a tax professional. The IRS is very particular about this - being legally married typically means you must file as either "Married Filing Jointly" or "Married Filing Separately," even if your spouse has never been to the US. Also, beyond Form 3520 for the foreign gift reporting, consider whether you'll need to file Form 8938 (FATCA) if the total value of your foreign financial assets exceeds certain thresholds. The $675k transfer could push you over these limits depending on your other holdings. One thing that might help is documenting everything thoroughly - the original purchase price of the property, sale documents, currency conversion rates, and the exact nature of your relationship to the funds. This documentation will be crucial if the IRS ever has questions about the source and nature of the money. Given the complexity and potential penalties for getting international tax reporting wrong, investing in professional advice for this specific situation is probably worth it, even if it costs a few hundred dollars upfront.