This is why startup equity compensation is such a minefield. I messed up my 83(b) filing too but in a different way - I filed it but forgot to include a copy with my tax return, which apparently also invalidates it. Anyone know if there's any possible relief or exception? I've heard rumors about a "reasonable cause" exception for late filings?

I feel your pain on this one! Missing the 83(b) election is unfortunately more common than you'd think, especially at startups where HR doesn't always explain the importance clearly. Since your initial FMV was $0.00, you're actually in a relatively good position compared to others who miss this deadline. The main thing to understand is that now you'll be taxed on ordinary income as your shares vest based on their fair market value at each vesting date. My advice: start preparing financially now. Set up a separate savings account and begin putting money aside for the tax bills that will come with each vesting event. If your company has had any funding rounds or valuation increases since you received your equity, those taxes could be substantial even though you won't have cash from selling shares to pay them. Also, make sure you understand exactly when your vesting dates are and try to get the company's most recent 409A valuation reports so you can estimate what you'll owe. Being proactive about this will save you from scrambling when tax time comes around.

Ive been a tax preparer for 8 years and ppl get confused about this all the time! Here's a quick cheat sheet for adult kids: 1. Over 19 (or over 24 if student) + income over $4,700 = NOT your dependent 2. Under 19 (or under 24 if student) + income ANY amount = CAN be your dependent if you provide >50% support and they live with you The only exception is permanently disabled adult children who can be dependents regardless of age.

Just to add another perspective - I went through this exact situation with my 19-year-old last year. She made about $6,800 working retail and I was so frustrated that I couldn't claim her even though I was paying for everything else in her life. What helped me was looking at it this way: even though you lose the dependent exemption, your kids will likely get most of their withheld taxes back as refunds since they're in such low tax brackets. In my daughter's case, she got back about $900 that had been withheld from her paychecks. Also, don't forget that you might still qualify for other tax benefits even if you can't claim them as dependents. If either of your kids takes any college courses (even just one class), you could potentially claim education credits. And if you're paying for their health insurance, you can still deduct those premiums in some situations. The IRS rules seem harsh but they're designed to prevent double-dipping - your kids get to keep their refunds, and the system assumes adults earning income should file their own returns.

I went through almost exactly your situation in 2023. Filed in January, needed refund urgently, contacted TAS on March 12th, and didn't hear back until April 27th - exactly 46 days later. When they finally reached out, my case was resolved in precisely 3 days. The frustrating reality is that TAS is handling 500% more cases than they were designed for. One thing I learned: document EVERYTHING. Note every call time, representative name, reference number, and promised follow-up date. In my case, having this detailed record of my 14 previous contact attempts actually helped expedite things once I finally got through. If you're facing eviction in 7 days, I'd recommend physically going to your local Taxpayer Assistance Center - they can sometimes intervene in true emergency situations.

I'm so sorry you're going through this - the stress of potentially losing housing with 5 kids while dealing with IRS delays must be overwhelming. From what I've learned lurking in this community, TAS is severely backlogged right now, but there are a few things you might try immediately: 1. **Emergency hardship designation**: Since you're facing imminent eviction, call TAS and specifically use the phrase "emergency hardship case" - this should trigger faster processing according to their own guidelines. 2. **Local Taxpayer Assistance Center**: As Lucy mentioned, showing up in person with documentation of your eviction notice might get you faster help than phone calls. 3. **Multiple congressional offices**: Don't just contact your representative - try both senators too. Sometimes one office is more responsive than others. 4. **Document everything**: Keep a detailed log of every interaction, including times you were hung up on. This creates a paper trail that can be useful for escalation. The system is clearly broken when families are at risk of homelessness while waiting for their own tax money. You shouldn't have to choose between paying for third-party services and keeping a roof over your kids' heads. Have you been able to get any written confirmation from TAS about your case status or timeline?

Just don't do what my roommate did last year - he tried to deduct his Netflix subscription because he "watches it between deliveries while waiting for orders" lol. He got his return flagged and ended up having to pay it back plus penalties.

Thanks for all the detailed info everyone! As someone new to gig work, this is super helpful. I've been doing DoorDash for about 3 months now and was worried I was missing out on deductions, but it sounds like I'm already tracking the main one (mileage). Quick question - I bought a car phone charger specifically for deliveries since my phone dies during long shifts. That would be deductible equipment like the hot bags, right? Also, if I get my oil changed more frequently because of all the delivery miles, can I deduct that if I'm using the standard mileage rate or is that already included? Really appreciate everyone sharing their experiences here. Tax season is stressful enough without trying to figure out what's legitimate!

I'm curious about how the Employee Retention Credit was calculated by your first preparer. I know the rules around that were super strict - your business had to be fully or partially suspended due to government orders OR have a significant decline in gross receipts during specific quarters. Some preparers were claiming it for businesses that didn't actually qualify.

This is definitely not normal practice and honestly sounds like a huge red flag. Any reputable tax preparer should be transparent about your refund amount - that's YOUR money and YOUR tax information, after all. Given that you've already had one preparer disappear on you and now this second one is being evasive about communication AND withholding basic information about your return, I'd be very concerned about the quality of their work. The fact that they've been skeptical about the Employee Retention Credit from the start but won't show you how they've handled it is particularly worrying. I'd strongly recommend demanding to see the completed return before paying. You need to verify that the ERC calculation is legitimate and that all other aspects of your return are accurate. If they refuse, that tells you everything you need to know about their professionalism. You might be better off cutting your losses and finding a third preparer who will actually be transparent with you about your own tax return. Remember, you're the one who has to sign that return under penalty of perjury - you have every right to review what you're putting your name on before paying for the service.