Have you tried using a different tax software? Sometimes the issue is with how one particular tax program formats the submission. I switched from H&R Block to FreeTaxUSA after having similar problems and my return went through fine. Most tax programs will let you import your info from a PDF of your H&R Block return, so you don't have to start completely from scratch. Might be worth trying if nothing else works!

I've been dealing with tax issues for years and one thing that often gets overlooked is checking if your state requires additional forms for multiple employers. Since you mentioned having two jobs ($46k + $14k), some states have specific requirements when you have multiple W-2s that can cause automatic rejections. Here's what I'd suggest trying first: Log back into H&R Block and look for a section called "State Requirements" or "Additional State Forms" - it's usually buried in the state portion after you enter all your income. Sometimes the software doesn't automatically prompt you for these forms even when they're required. Also, double-check that your bartending income is correctly categorized. If any of your tips were reported differently between your W-2 and what you reported throughout the year, that can trigger state rejections even when federal accepts it. If you're still stuck after checking those items, you might want to call your state's taxpayer assistance line directly. I know it's a pain to wait on hold, but they can often tell you exactly what field is causing the rejection in a way that H&R Block's error messages can't.

I just ignored a $8.50 use tax I owed last year and nothing happened lol. The state has bigger tax cheats to go after than someone who didn't pay a few bucks on an online purchase. But technically yes you're supposed to pay it.

For your specific situation with the $5.40, here's my practical advice: Yes, technically you're required to pay use tax, but realistically the enforcement risk for such a small amount is essentially zero. However, I'd recommend getting into good habits now. Most states let you report use tax on your annual income tax return - there's usually a line where you can enter the total amount of use tax owed for the year. You can either track individual purchases or use your state's estimation table based on income (much easier). Since you're just starting to deal with this, I'd suggest setting up a simple system: keep a running tally of untaxed online purchases throughout the year, then report the total when you file your state taxes. The deadline is typically the same as your income tax filing deadline. Don't stress too much about this particular $5.40 purchase, but use it as a learning experience for bigger purchases in the future. Better to understand the system now than be caught off guard with a larger amount later!

Quick clarification: S-corporation losses are NOT the same as a Net Operating Loss (NOL) in the traditional sense. While a C-corp has a true NOL that's carried forward on the corporate return, S-corp losses flow through to shareholders and are subject to basis, at-risk, and passive activity loss limitations BEFORE they can create an NOL on your personal return. So the sequence is: 1. S-corp generates a loss 2. Loss flows to your K-1 3. Loss is subject to basis limitations (you can't deduct more than your basis) 4. Loss is subject to at-risk rules (Section 465) 5. Loss is subject to passive activity loss rules (Section 469) 6. Any remaining loss offsets other income on your 1040 7. If that creates a negative AGI, THEN you have a personal NOL This is why so many people get confused!

This thread has been incredibly helpful! As someone who's been struggling with S-Corp loss limitations for years, I want to add one more piece that might help others avoid my mistakes. Make sure you understand the difference between stock basis and debt basis in your S-Corp. I learned this the hard way when I got audited. Your stock basis comes from: - Initial capital contributions - Additional capital contributions - Your share of S-Corp income - Your share of tax-exempt income Your debt basis comes from: - Direct loans you make to the S-Corp (with proper loan documentation) - Guarantees of third-party debt (but this is more complex) You can only deduct losses up to your combined stock basis + debt basis. But here's the kicker - when you have income in future years, debt basis gets restored FIRST before stock basis. I made the mistake of thinking a $10K business loan I guaranteed counted toward my debt basis, but the IRS disagreed because I didn't have the right documentation showing I was actually at risk for the debt. Cost me about $3K in additional taxes and penalties. Keep meticulous records and consider having a tax professional review your basis calculations at least every few years, especially if you're dealing with losses or taking distributions.

Make sure you're setting aside money each quarter for estimated tax payments on your 1099 income going forward. The IRS expects you to pay as you earn rather than all at once at tax time. If you wait until April, you might get hit with underpayment penalties.

Just wanted to add a practical tip for tracking expenses throughout the year - I use a simple spreadsheet to log every business-related purchase as it happens. Categories like equipment, software subscriptions, office supplies, travel/mileage, etc. Makes tax time SO much easier than trying to dig through bank statements later. Also, if you're using your phone or computer for content creation, you can deduct the business percentage of those costs too. Just make sure you can justify the percentage if the IRS ever asks. For example, if you use your phone 40% for business, you can deduct 40% of your monthly bill. The key is being able to document that these expenses are "ordinary and necessary" for your content creation business. Keep receipts and notes about how each expense relates to your work!

Has anyone dealt with a situation where the house significantly appreciated between death and sale? My situation is similar but we didn't sell right away and now there's a huge gain from the stepped-up basis to sale price.

I'm dealing with a very similar situation right now with my grandmother's estate. One additional thing to consider that hasn't been mentioned yet - if the property was used as a rental before your aunt passed, you may also need to deal with depreciation recapture on Schedule D. This gets reported as ordinary income rather than capital gains and can significantly impact the tax liability. Also, make sure you get a proper appraisal of the property as of the date of death to establish the stepped-up basis. The IRS may question the valuation later, especially with a $425,000 property, so having professional documentation is crucial. I learned this the hard way when they asked for supporting documentation during my grandmother's estate audit. For the K-1 distributions to 20 beneficiaries, consider whether any of them are minors or have special circumstances that might affect how they report their share of the gain. This can get complex quickly with that many people involved.