Just a heads-up that different states have different rules about inheritance taxes. While federal doesn't tax inheritances directly, some states do have inheritance taxes. I think there are like 6 states that still have them. So depending on where you live or where your aunt lived, you might want to check your state tax laws too.

Word of warning from someone who's been there - make sure you keep REALLY good records of what you received as inheritance vs any income those assets generate after you receive them. I got audited 2 years after my father passed because I didn't properly document which money was original inheritance (not taxable) vs interest/dividends/gains (taxable). The IRS was actually reasonable once I explained the situation but I had to piece together a lot of documentation after the fact which was super stressful. Would have been way easier if I'd kept clear records from the start.

If your garnishment is for a really small amount like yours, sometimes it's just easier to pay it all at once if you possibly can. I got one for $175 last year and just paid it to make it go away. The hassle of setting up a payment plan and dealing with all the paperwork wasn't worth it for that amount. Just my two cents!

Just wanted to add something that might help - if you're struggling financially like you mentioned, most states have hardship provisions for garnishments. You can request a hearing to show that having money taken from your paycheck would cause undue financial hardship (like not being able to pay rent or buy groceries). I had a friend who was in a similar situation and filled out a hardship form showing his monthly expenses vs income. The state reduced the garnishment amount significantly and gave him more time to pay. It's worth asking about when you call them. Also, keep records of everything - save copies of any letters, write down who you talk to and when, and get confirmation numbers for any payments you make. Government agencies can be slow to update their systems and you want proof of what you've done. Don't let this stress you out too much. $204 is very manageable compared to what some people face, and the fact that you're being proactive about it puts you in a good position to work something out!

Don't forget about reporting foreign financial accounts! If the total of all your foreign accounts exceeds $10,000 at any point during the year, you need to file an FBAR (FinCEN Form 114). The penalties for not filing this are INSANE - up to $12,921 per violation for non-willful violations and even higher for willful ones. Also, if you have foreign financial assets exceeding certain thresholds, you might need to file Form 8938 with your tax return. Different from the FBAR and easy to miss if you're doing taxes yourself.

As someone who made the move from the US to Spain three years ago, I can definitely relate to your stress about this! The tax situation is complex but totally manageable once you understand the basics. You'll definitely need to continue filing US tax returns annually - this is non-negotiable as a US citizen. However, Spain has a tax treaty with the US that helps prevent true double taxation. I use both the Foreign Earned Income Exclusion (currently $126,500 for 2025) and foreign tax credits for any Spanish taxes I pay. One thing I wish someone had told me earlier: start keeping meticulous records from day one of your move. Save everything - your lease agreement, utility bills, employment contracts, even grocery receipts if you want to be super safe. Spain requires you to become a tax resident if you're here more than 183 days in a year, so you'll be filing Spanish returns too. The biggest gotcha for me was the timing - Spanish tax year runs January to December, but you file the following spring. Make sure you understand both countries' deadlines so you don't accidentally miss something. Also, get familiar with the Modelo 100 (Spanish individual tax return) early - it's way more detailed than US forms. Don't let anyone scare you out of this move! Yes, it's paperwork-heavy, but thousands of Americans live and work abroad successfully. Just stay compliant with both countries and consider getting professional help for your first year or two until you get the hang of it.

Has anyone here actually had success getting the penalties reduced? I'm amending several years and looking at almost as much in penalties as the original tax! This is so frustrating, especially since I'm trying to do the right thing by amending.

I've been through this exact scenario with a 2018 amended return that resulted in owing about $4,200 additional. Here's what I learned from the experience: The good news is that since you filed your original 2019 return on time, you won't face the failure-to-file penalty on your amended return. That's a huge relief because that 5% monthly penalty can add up fast. However, you will owe: - Failure-to-pay penalty: 0.5% per month on the unpaid tax from April 15, 2020 (or July 15, 2020 if you had the COVID extension) until paid - Interest: This compounds daily and the rates have fluctuated quite a bit since 2020 For context, my penalties and interest on that $4,200 ended up being about $1,800 total by the time I paid in late 2022. The interest was actually the bigger component since it had been accumulating for several years. One tip: when you file Form 1040X, make your best estimate of penalties and interest and pay it with the return. Even if you're slightly off, it shows good faith and stops the clock on further accumulation. The IRS will adjust and either refund any overpayment or bill you for any shortage. Also consider requesting First Time Penalty Abatement if you qualify - it can eliminate the failure-to-pay penalty portion, though not the interest.

Has anyone considered the "unmarried parents" rule here? If these are both biological parents with their own kids, and they're unmarried, there might be a way to structure this. If each parent could claim they provided more than half the support for their own child, and the home is the principal place of abode for those children, there might be a path forward. The real question is whether the IRS would consider them sharing living expenses as "keeping up a single home together" or "each contributing to their own child's support.

I've been through a very similar situation and want to share what I learned from my tax professional. Unfortunately, the IRS is pretty strict about the December 31st rule for Head of Household status. Even though you were legitimately separate households for most of 2024, your filing status is determined by your situation on the last day of the tax year. Since you're living together as a family unit and sharing expenses by December 31st, only one of you can claim Head of Household. The other would need to file as Single. The IRS views this as one household being maintained, regardless of how you split the expenses. However, there might be a silver lining - since you're paying 60% of the household expenses and presumably supporting your own children, you'd likely be the better candidate for Head of Household status. Your girlfriend would file as Single but could still claim her children as dependents. I know it feels unfair given that you maintained separate households for most of the year, but the tax code doesn't account for partial-year situations like this. The key is to make sure whoever claims HOH has proper documentation of paying more than half the household costs and that their qualifying dependents lived in the home for more than half the year.