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Same issue here. Been locked out 3 days straight. Called them and was on hold for 2 hours just to get hung up on š¤®
I had the same problem last week! What worked for me was clearing my browser cache and cookies completely, then waiting the full 24 hours before trying again. Also make sure you're using the exact refund amount from line 35a of your 1040 form, not any estimated amount. The system is super picky about matching everything exactly.
Thanks for the tip about clearing cache! I'll definitely try that when my 24 hour lockout is up. Did you have to wait the full 24 hours or could you try sooner?
Is your friend enrolled as an Electronic Return Originator (ERO)? If so, he can access e-Services online and might have an easier path to resolving this. Also worth checking if he has a dedicated IRS agent through the Practitioner Priority Service - experienced accountants often have this resource and it can bypass many of the normal wait times.
Just to clarify - ERO status doesn't help with EFTPS specifically. That's for filing returns electronically, not making payments. They're separate systems entirely. The Practitioner Priority Service recommendation is good though!
I work at a mid-size CPA firm and we've dealt with this exact scenario before. Here's what I'd recommend for your friend: 1) Call EFTPS immediately at 1-888-353-4537 (not the number mentioned earlier - that's the old one). Explain it's an emergency with multiple clients and pending deadlines. They can issue temporary PINs over the phone that are valid for 30 days. 2) If he can't get through quickly, have him fax a signed letter on his letterhead to 855-264-3287 explaining the situation with a list of all affected EINs. Include his PTIN number if he has one. They usually respond to emergency fax requests within 24-48 hours. 3) As a last resort, clients can make payments directly through their bank's online bill pay system using the "Federal Tax Deposit" option - most major banks offer this and it posts same-day if done before 8 PM ET. The key thing is to document everything he's doing to resolve this. Even if some payments are a day or two late, showing he took immediate action usually results in penalty abatement when you can prove reasonable cause. I've successfully gotten penalties waived in similar situations by providing this documentation to the IRS. Don't let him stress too much - this is more common than people think and there are definitely solutions!
Just my two cents, but I think you should definitely tell your tax preparer about the unfiled 2023 return during your appointment for 2024. They deal with this situation ALL THE TIME, trust me. When I worked as a server, I had a similar issue where I owed money multiple years and got overwhelmed. My tax guy handled everything - filed my back taxes, set up a payment plan, and even got some penalties reduced. It was way less painful than I expected. Don't try to handle the 2023 return yourself if you're already planning to see a professional for 2024. Let them handle both and do it right. The peace of mind is worth it, and they might save you money in the long run.
Thanks for the advice! That's reassuring to hear. Do you think I should still try to gather all my 2023 W-2s before the appointment? And did your tax preparer charge extra for handling the unfiled year?
Yes, definitely gather all your 2023 W-2s beforehand if possible. The more prepared you are, the smoother (and potentially cheaper) the process will be. If you can't get them all, at least bring what you have so your preparer knows what they're working with. My tax preparer did charge a bit extra for the unfiled return - about $50 more than my current year return. But honestly, it was money well spent for the stress relief and making sure it was done correctly. Some preparers charge the same for current and prior years, while others have a small additional fee. Just ask upfront so there are no surprises.
You're definitely not in as much trouble as you think! Missing one year happens more often than you'd expect, especially with multiple W-2s and website issues like you experienced. The lack of IRS notices is actually pretty normal - they're still working through backlogs and it often takes 12-18 months before they start sending letters about unfiled returns. Don't let that false sense of security fool you though - it's better to get ahead of it. Since you mentioned most of your income was from serving, there's a decent chance you might have had enough taxes withheld to cover what you owe, or you might even be due a refund. Server wages often have higher withholding rates, and if you're young, you might qualify for credits you don't know about. Definitely bring up the 2023 situation with your tax preparer at your scheduled appointment. They can handle both years efficiently and help you understand exactly where you stand. In the meantime, start gathering those 2023 W-2s - contact the employer with the website issues directly if needed, or you can request wage transcripts from the IRS. Don't stress too much about this. You're being proactive now, which is what matters. The penalties for late filing aren't pleasant, but they're manageable, especially if you file before the IRS gets around to creating a substitute return for you.
The issue is 100% a software problem. Health insurance for partners reported as guaranteed payments reduces QBI at the partnership level. The software is making a second reduction at the individual level, which is incorrect. If you don't want to override, another approach is to NOT report the health insurance as a guaranteed payment on the 1065, and instead just show it as a footnote on the K-1 and have the partner deduct it on their 1040. This isn't technically correct per IRS instructions, but effectively gets the right QBI result. But honestly, just overriding the software calculation is cleaner.
Wouldn't the approach of not reporting as a guaranteed payment cause other issues though? Like wouldn't it mess up the partner's self-employment tax calculation? The guaranteed payment affects both SE tax and QBI.
You're absolutely right - that workaround would indeed cause SE tax issues by understating the guaranteed payments subject to self-employment tax. I shouldn't have suggested that approach. The correct method is definitely to report the health insurance as a guaranteed payment on the 1065 and then override the QBI calculation on the 1040 to prevent the double reduction. It's frustrating that we have to manually fix software issues, but at least it's a straightforward override.
This is such a widespread issue this filing season! I'm seeing it across multiple software platforms - UltraTax, ProSeries, Drake, and others all had similar bugs with the QBI calculations for partnership health insurance. What's really frustrating is that the software companies seem to understand the S Corp treatment (health insurance in W-2 wages shouldn't reduce QBI again on the individual return) but haven't applied the same logic to partnerships. The concept is identical - the guaranteed payment for health insurance already reduces QBI at the partnership level. For anyone still dealing with this, I'd strongly recommend documenting your override with a detailed workpaper. Include references to Reg. Sec. 1.199A-3(b)(1)(vi) and note that the guaranteed payment has already reduced QBI at the entity level. The IRS guidance is pretty clear on this point, even if the software implementation has been problematic. Has anyone heard if the major software companies have committed to fixing this for next filing season? It seems like such a basic issue that affects so many partnership returns.
Diego Flores
I'm in a similar situation - my refund check was mailed April 16th and still nothing after 11 days. Reading through all these comments is both reassuring and terrifying at the same time! It sounds like anything from 2-7 weeks is "normal" which is crazy when you're waiting on thousands of dollars. I'm definitely going to set up USPS Informed Delivery today and maybe call my local post office to see if they have it sitting there with a scanning error like someone mentioned. Thanks for posting this - at least I know I'm not alone in this waiting game!
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Ethan Taylor
ā¢Hang in there! I'm going through the exact same thing and it's so nerve-wracking. The waiting is the worst part, especially when it's such a significant amount of money. Setting up Informed Delivery is definitely a smart move - I wish I had done that from the beginning. The post office tip is really good too, I never would have thought to call them directly. Hopefully we'll both get some good news soon! Keep us posted on what you find out.
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Madison King
I'm going through this exact same stress right now! My check was mailed April 15th (the day after yours) and still no sign of it. It's been 12 days and I'm checking the mailbox obsessively. Reading everyone's experiences here is actually really helpful though - sounds like 2-4 weeks is unfortunately pretty normal even though it feels like forever when you're waiting on that much money. I'm definitely going to set up USPS Informed Delivery right now and maybe try calling my local post office tomorrow to see if there's a scanning issue. The idea of mail theft is terrifying but at least if that happened the IRS can track if it was cashed by someone else. Fingers crossed both our checks show up this week! Thanks for posting this - it's oddly comforting to know others are in the same boat.
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Mikayla Davison
ā¢I'm so glad I found this thread! Mine was mailed April 17th so we're all basically in the same timeline. It's reassuring to know this is "normal" even though it doesn't feel normal at all when you're waiting on a big refund. I set up Informed Delivery after reading these comments and it's already giving me some peace of mind seeing what mail is actually coming each day. The post office tip is brilliant - I never would have thought to call them directly but it makes total sense that checks could get stuck there with scanning errors. Hopefully we'll all have good news to share soon!
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