One thing nobody's mentioned yet - what's the actual benefit you're trying to achieve with this structure? If it's just liability protection, there might be simpler ways to structure this. I had a Revocable Trust -> LLC structure for my business initially, and it was a huge headache for taxes. I ended up restructuring to simplify things. If it's for estate planning, have you considered whether a SMLLC owned by one spouse (with appropriate estate planning) might achieve your goals with less complexity? Or potentially an irrevocable trust structure if you're looking for asset protection?

Based on everything discussed here, it seems pretty clear that you'll need to file Form 1065 for your LLC. The consensus from multiple experienced folks is that the IRS will look through both disregarded entities (your revocable trust and the SMLLC) and see two ultimate beneficial owners in a non-community property state. I'd suggest getting this confirmed officially before filing, especially since you mentioned this is your first year with this structure. The penalty risks for filing incorrectly on partnership returns can be significant. Also, for next year's planning, you might want to evaluate whether this structure is still serving your needs. From what you've described about wanting probate avoidance and business continuity, there might be simpler ways to achieve those goals without the Form 1065 complexity. An estate planning attorney who works with business owners could probably show you some alternatives that accomplish the same objectives with cleaner tax reporting. Good luck with your filing - and congratulations on the successful Amazon FBA business!

Check if your housing might qualify as excludable under Section 119 of the tax code! If the housing was provided for the "convenience of the employer" and on the employer's premises, and you were required to accept the housing as a condition of employment, it might not be taxable. Worth looking into before you amend!

I went through something very similar last year with a tech company that forgot to report my relocation bonus. The whole process was honestly less scary than I expected once I got started. A few practical tips from my experience: First, gather all your documents from that tax year (original W2, W2C, your filed return, any records of the housing arrangement). The IRS will want to see everything matches up. Second, if you used tax software originally, most programs like TurboTax or H&R Block have tools specifically for amended returns that walk you through the W2C situation step by step. One thing that surprised me - I actually ended up getting a small state refund because the additional federal tax I owed put me in a higher bracket that qualified for a bigger state deduction. So it's not always doom and gloom! The interest on what you owe will probably be manageable since it's only been 3 years, not like 10. Definitely don't wait though. The company already sent the corrected info to the IRS, so their computers will eventually flag the mismatch anyway. Better to handle it on your terms.

Have you: • Checked your transcript for codes? • Verified if you have credits subject to PATH Act? • Confirmed your filing was actually accepted on Jan 31st (not just submitted)? • Called the automated refund hotline at 800-829-1954? The 21-day timeline is just a guideline, not a guarantee.

The confusion between business days vs calendar days is completely understandable! As others have mentioned, the IRS does count business days for their 21-day processing guideline, which excludes weekends and federal holidays. However, I want to point out something that might help clarify the mixed information you're receiving: the IRS website itself states that "9 out of 10 refunds are issued within 21 days" without always specifying business vs calendar days in their general communications. This creates the confusion you're experiencing. For your January 31st filing date, counting 21 business days with Presidents Day excluded would indeed land you around February 29th. I'd recommend checking your account transcript online at irs.gov - it will show any processing codes that might explain delays beyond the standard timeline. The transcript is often more informative than the Where's My Refund tool.

Quick heads up - if your trust distribution was large (over $15,000 in 2022/2023), make sure the trustee isn't confusing the 65-day rule with gift tax reporting. I've seen this happen where trustees think the beneficiary needs to report large distributions as gifts, but trust distributions aren't considered gifts for tax purposes (the original transfer to the trust may have been). Trust distributions are generally reported as income by the beneficiary (unless they're distributions of principal, which usually aren't taxable). The gift tax annual exclusion amount ($17,000 for 2023) isn't relevant to trust distributions.

I'm dealing with a similar situation and wanted to share what I learned from my CPA. One thing that hasn't been mentioned here is the importance of checking whether your trust made a "distributable net income" (DNI) election. This can affect how much of your distribution is actually taxable income versus a return of principal. In my case, the trust distributed $35,000 to me in February 2023 under the 65-day rule, but only about $22,000 of it was actually taxable income - the rest was a distribution of trust principal (which isn't taxable to me). This shows up clearly on the K-1, but I almost missed it and was preparing to pay taxes on the full amount. The timing rule everyone discussed is absolutely correct - you report in the year you receive the money regardless of the trust's election. But don't forget to look at the character and taxability of the distribution itself. Sometimes trustees don't explain this distinction clearly.

dont overthink this. i deposit cash from my side business all the time. just go to the bank with ID, tell them its payment for freelance work, sign the CTR form they give you, and your done. takes like 5 extra minutes. they see this stuff every day.

One thing I haven't seen mentioned yet is to make sure you keep detailed records of this transaction for your own files. Beyond just getting a receipt from your client, document the date, method of payment, what services were provided, and maybe even take a photo of the cash before depositing (sounds paranoid but it's good documentation). Also, if this client is going to continue paying you large amounts, you might want to consider asking them to get a cashier's check instead of cash for future payments. It's safer for both of you to transport and creates a cleaner paper trail. Banks are much more comfortable with large cashier's checks than large amounts of cash. For tax purposes, just make sure you're setting aside the appropriate amount for taxes since this is self-employment income. The IRS will expect their cut regardless of how you were paid!