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Hey, just wanted to mention that when I filed taxes for my savings bonds, I made the mistake of trying to pay separately. You actually just include the 1099-INT with your regular tax return. If you use software like TurboTax or FreeTaxUSA, they'll have a specific section for entering interest income. The software calculates everything and tells you if you owe more or get a refund based on your ENTIRE tax situation, not just the bonds.
This is important! Also, don't forget that you can potentially choose to report savings bond interest annually as it accrues OR all at once when you cash them in. Most people do the latter (reporting when cashed in), but if you've been reporting annually, don't report it again!
Just to add another perspective - I had a similar situation with old savings bonds last year. One thing that really helped me was checking if my tax situation was simple enough to use the IRS Free File program. Since you mentioned you're new to taxes, if your income is under $79,000, you can use brand-name tax software completely free through the IRS website. I used it for my savings bond interest and it walked me through everything step by step, including where to enter the 1099-INT information. The software automatically calculated how the $568.75 would affect my overall tax liability and I could pay electronically right through the system. Saved me from having to figure out payment methods separately!
Hot take: maybe this is a sign we should all adjust our withholdings so we don't end up giving the government an interest-free loan every year š¤·āāļø
Same situation here! Filed in early March and still showing "no file processed." From what I've gathered lurking in tax forums, it seems like the IRS is just massively backlogged this year. I've seen people say their transcripts updated overnight from "no file processed" straight to showing a refund date, so there's hope! One thing that helped ease my anxiety was setting up automated transcript monitoring through the IRS website - at least then I don't have to manually check every day. Hang in there, we'll get through this bureaucratic nightmare eventually! šŖ
Oh wow, automated transcript monitoring sounds like a game changer! I had no idea that was even an option. I've been manually checking like 5 times a day which is probably not great for my stress levels š Do you know where exactly on the IRS website I can set that up? And thanks for the reassurance - it's good to hear from someone else going through the same thing!
Did the agent mention anything about the specific date when your account was flagged for verification? I'm tracking similar cases, and it seems like returns filed between February 1st and February 15th, 2024 had a higher incidence of these automatic verification flags. Also, did you file with any credits like EIC or CTC that might have triggered additional review under the PATH Act?
I filed on February 3rd and had the exact same experience - verification flag that cleared itself after about 12 days. Received my refund on March 21st, which was about 5 weeks after the verification cleared. So much faster than the 9 weeks they quoted me!
Has anyone noticed if these verification issues are more common with certain tax preparation software? I used FreeTaxUSA this year and got flagged, but never had issues with TurboTax in previous years.
I experienced something very similar! Filed on 2/8, got the ID verification flag, and it cleared automatically after 11 days. What really helped me was checking my account transcript weekly on the IRS website - you can see the exact codes and dates when things change in your processing status. The 9-week estimate is definitely their standard "cover all bases" response. In my case, I received my refund exactly 4 weeks and 2 days after the verification cleared. The key thing to watch for is when your processing actually resumes - that's when the real countdown begins. For your mother's medical expenses, I'd plan for the 6-week mark as a realistic expectation, but don't be surprised if it comes sooner. The automated reversal is actually a good sign that your return is straightforward and just got caught in their security net initially.
This is super helpful to read everyone's experiences! I'm in almost the exact same boat - filed 2/8, got the mysterious ID verification that disappeared on its own after about 10 days, and was told 9 weeks when I called. Reading all these responses gives me hope that it'll be much sooner than that. The fact that so many people are experiencing the same auto-reversal thing makes me think there's definitely something new with their system this year. I'm going to start checking my transcript more regularly for that 846 code everyone mentioned. Thanks for sharing your timeline - it really helps to know what others have gone through!
Welcome to the club! š It's honestly reassuring to see so many people going through the same thing - makes me feel less like I did something wrong with my return. I'm definitely going to start checking my transcript daily too (joining the obsessive checkers club apparently!). The whole auto-reversal thing is really weird but seems to be working in our favor based on everyone's experiences here. Fingers crossed we both get our refunds way sooner than the 9 weeks they quoted us!
I'm going through this exact same situation right now! Filed 2/4, got hit with the mysterious ID verification around 2/12, and then it just vanished on its own last Friday. Called yesterday and got the same 9-week spiel from the agent. It's so reassuring to see all these similar experiences and timelines - especially hearing that most people got their refunds way earlier than quoted. The auto-reversal thing seems to be happening to a lot of us this year. I'm definitely going to start obsessively checking my transcript for that 846 code now! Thanks for posting this - it gives me so much hope that I won't actually be waiting until mid-April for my refund.
Liv Park
my parents pulled the same nonsense last year lol. they were mad cause they were losing like $1800 in tax benefits. but listen the rules r super clear - if ur 19+ and not a student, they CANNOT claim u as a qualifying child. period. and that "minor until 20/21" stuff is BS. even if that was true (its not), tax dependent status has specific rules that have nothing to do with state age of majority laws. don't let them pressure u into amending ur return when u filed correctly! they're just upset about losing the tax benefits they're used to getting. welcome to real adulting where u file ur own taxes and claim urself lol
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Leeann Blackstein
ā¢Exactly! And if OP amends their return incorrectly just to please the parents, then BOTH returns would contain false information. The IRS doesn't look kindly on that and both parties could face penalties. Stand your ground, OP!
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Kirsuktow DarkBlade
I'm a tax preparer and I can confirm you filed correctly. Based on your situation - 19 years old, not a student, and earning $6,700 - your parents cannot claim you as a dependent under either test. The "qualifying child" test fails because you're 19 and not a full-time student. The "qualifying relative" test fails because your income exceeds the $4,700 threshold for 2024. Your mom's accountant either misunderstood the situation or your mom didn't give them complete information. The comment about Alabama's age of majority is irrelevant - federal tax law governs dependent status, not state age of majority laws. The $2,550 drop in your mom's refund is likely from losing the Child Tax Credit ($2,000) plus potential changes to her filing status if you were her only dependent. She might have to file as Single instead of Head of Household, which affects tax brackets and could impact other credits like the Earned Income Credit. I know it's tough dealing with family pressure, but don't amend your return. You filed correctly, and amending it would be filing false information. The IRS has systems to catch conflicting dependent claims, and both returns could face penalties if you both claim different statuses for the same person.
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