Just wanna add that you should be careful about "reimbursing" yourself too much at once if you do it in 2025. I made this mistake - had a ton of 2023 miles I didn't reimburse until January 2024, then tried to take it all at once along with my regular 2024 mileage. My accountant warned me that large, unusual reimbursements can trigger extra scrutiny. Might be worth spreading it out over a few months if the amount is significant.

Just to add another perspective - I've been dealing with similar timing issues in my consulting business. One thing that helped me was creating a simple spreadsheet that clearly separates "when the expense occurred" vs "when I paid/reimbursed myself." This makes it crystal clear for both my records and any potential IRS questions. For your December 2024 miles, I'd recommend documenting it something like: "Business mileage incurred: December 2024 | Reimbursement date: February 2025 | Tax year for deduction: 2025." This way there's no confusion about the timeline. Also, since you mentioned money was tight in December, you might want to consider what others have suggested about claiming the mileage directly on your 2024 Schedule C instead of doing a formal reimbursement. That way you could still get the deduction for 2024 without having to actually move cash around. Just make sure your mileage logs are detailed enough to support the deduction!

Check your transcript for code 570 - that means a hold on your account. If you see code 971, that means they sent you a notice explaining whats happening. The combination usually means they're holding your refund for some reason. Pretty common during OIC.

I'm going through something similar right now - filed my OIC about 4 months ago and they've been holding my refund the entire time. What I learned from calling the OIC unit is that they automatically place a "freeze" on any refunds while your offer is being reviewed. The good news is that if your OIC gets accepted, those held refunds do count toward reducing your overall settlement amount, so you're not losing that money completely. If your OIC gets rejected, they should release the refund unless you have other tax debts they can apply it to. The waiting is brutal though - I totally get the desperation! Hang in there and definitely try calling that OIC number someone mentioned earlier to get a status update on your package.

Thanks for bringing this up! I just checked and you're absolutely right - there's definitely a discrepancy between what the IRS site shows and what Pay1040 is actually charging. I've been dealing with similar fee confusion lately. It's really frustrating when you're trying to plan your payment strategy and the official IRS page isn't current. From what I've seen in other tax forums, these processor fee changes happen pretty regularly, but the IRS website updates can lag behind by weeks or even months. For anyone else running into this, I'd recommend always double-checking the actual processor website before making your payment. The fees listed there are what you'll actually be charged, regardless of what the IRS page says. Learned this the hard way last year when I budgeted based on outdated fee info! Also worth noting that if you're making a large payment, even a 0.12% difference (1.87% vs 1.75%) can add up to real money. On a $10k tax bill, that's an extra $12 - not huge, but still annoying when you thought you were getting a better rate.

This is exactly why I always recommend checking multiple sources before making tax payments! I've been burned by outdated fee information before too. One thing that might help everyone here - the IRS actually has a disclaimer (though it's buried in small print) that says the payment processor fees are subject to change and to verify current rates on the processor's website. I only noticed this after getting hit with a higher fee than expected last year. For what it's worth, I've found that Pay1040's fees tend to fluctuate more than some of the other processors. If you're planning ahead for next year, it might be worth keeping an eye on their rates throughout the year to see if there's a pattern to when they increase or decrease fees. Also, don't forget that some credit cards offer bonus categories that might change the math on whether the fee is worth it. My Discover card had 5% back on "government services" one quarter last year, which made even higher processing fees totally worth it for the rewards.

Has anyone here actually tried claiming the childcare credit for a babysitter rather than a daycare? My tax guy told me last year I couldn't claim it unless the childcare provider had a tax ID number or something?

I just went through this exact situation last year with my regular babysitter! At $250/week, you're looking at about $13,000 annually, which means you'll definitely need to handle the household employer responsibilities that others have mentioned. One thing I wish I'd known earlier - you can actually start withholding the employee portion of Social Security and Medicare taxes from your babysitter's pay (if they agree), which makes things easier at tax time for both of you. Otherwise, you're responsible for paying both the employer AND employee portions yourself. For the Child and Dependent Care Credit, I was able to claim the full amount I paid my babysitter. Just make sure to get their SSN early on and keep detailed records of all payments with dates. I used a simple spreadsheet to track everything. The credit was worth about $1,050 for me, which definitely helped offset some of those employer tax costs! Also, don't forget you might need to pay state unemployment insurance depending on where you live. Each state has different thresholds, so check your state's requirements too.

Great question! I went through this exact same confusion when I started my rental property business. The de minimis safe harbor is definitely a game-changer for small landlords dealing with furniture and equipment purchases. One thing I learned the hard way: make sure you're consistent with your election each year. I forgot to include the election statement one year and had to amend my return because I'd already deducted items as expenses instead of depreciating them. The IRS wants to see that formal election language even though it seems like just a formality. Also, keep in mind that if you have a particularly good year and think you might benefit more from spreading deductions over time, you can choose NOT to make the election. It's not required - it's just an option that's usually beneficial for most small landlords. For your specific furniture purchases, document everything well. I use a simple spreadsheet with columns for date, item, cost, and which unit it's for. Makes tax time much easier and gives you solid backup if there are ever questions.

I just wanted to add something that might help other newcomers like me - make sure you understand the difference between "per item" and "per invoice" when applying the $2,500 threshold. I almost made a mistake on this! I bought a dining set for my rental that was listed as one "item" on the receipt for $3,200, but it was actually a table ($1,800) and 4 chairs ($350 each). Initially I thought the whole thing was over the limit, but my accountant explained that each physically separate piece counts as its own item for de minimis purposes. So the table at $1,800 qualified, and each chair at $350 qualified separately. This saved me from having to depreciate the entire dining set over 7 years! Just thought this might help someone else avoid the same confusion. Also, for anyone wondering about the election statement - I used the exact wording mentioned earlier and included it as a separate attachment to my Schedule E. Worked perfectly and no issues from the IRS.