Just an FYI - I think the threshold for reporting is actually still $20,000 AND 200 transactions for 2023 taxes (filing in 2024). The $600 threshold was supposed to start in 2022 but got delayed.

I went through this exact same panic last year! The key thing that helped me was realizing that even if you do get a 1099-K form, it doesn't automatically mean you owe taxes on that amount. The form is just reporting gross payment volume - it's basically saying "this person received X dollars through our platform" without any context about whether it was income or not. If all your Venmo transactions were truly personal (roommate paying you back for rent, friends reimbursing you for concert tickets you bought for the group, etc.), then you had $0 in actual taxable income from the app, regardless of what any 1099-K might say. You'd just need to be able to explain that if questioned. The IRS isn't going to waste resources auditing people over legitimate personal transfers. They're looking for people who are actually earning unreported business income through these platforms. Keep your Venmo descriptions clear (like "utilities reimbursement" or "dinner split") and you'll be fine.

Since you're not planning to rent it out, have you considered a 1031 exchange? It lets you defer capital gains taxes if you're buying another investment property. But there are strict timelines - you need to identify the new property within 45 days and complete the purchase within 180 days.

Just wanted to add a practical tip that saved me thousands when I sold my gifted property last year - make sure you get a proper appraisal done before you sell, not just a CMA (Comparative Market Analysis) from a realtor. The IRS may challenge your sale price if it seems too low compared to fair market value, especially with gifted properties since they're more scrutinized. I paid $500 for a certified appraisal and it gave me solid documentation that my sale price was legitimate. Also, regarding your question about using only part of the proceeds - this is actually a smart move in many cases. If you can get a mortgage rate that's lower than what you could earn investing the rest of the money, it makes financial sense. Plus, mortgage interest is tax-deductible while investment gains from the proceeds would be taxed as capital gains. One more thing - start gathering documentation NOW about what your brother originally paid for the house and any improvements he made. The longer you wait, the harder it becomes to track down those records, and that's money you could be leaving on the table.

mine was stuck on processing for 4 months then randomly showed up in my account one day lol just hang in there

Looking at your transcript, that negative balance of -$9,621 means you're getting a refund! The codes show: 150 means your return was filed, 766 is additional child tax credit ($4,129), and 768 is earned income credit ($8,830). That weird number 30221-423-74330-5 is just an internal IRS processing code. The April dates (04-16-2025) are when those credits will be released - that's your expected refund date. Your cycle code 20250505 means it's being processed in the 5th week of 2025. Everything looks normal, just gotta wait for that April date! 💰

Theyre not gonna call u back in 30 days lol. But the good news is that usually means theyre about to release it anyway

Had the exact same thing happen to me last month! My 810 got removed and they gave me the whole "higher ups will call in 30 days" speech. Didn't get a call but my refund hit my account on day 18. Just keep checking your transcript for movement - once that 810 is gone you're basically in the clear. Hang in there!

Have you received any mail from the IRS yet? The 971 code means they sent something, and knowing what that notice says would help figure out your next steps.

I went through something very similar last year! Had the 570 code on 3/18 and 971 code on 3/25, and my WMR changed from PATH to processing around the same time as yours. The waiting was terrible, especially when you're dealing with major life changes like divorce - I totally understand needing that refund ASAP. In my case, I received the notice about 5 days after the 971 date, and it was just a CP12 explaining they corrected a small math error on my return. My refund was deposited exactly 8 days after WMR changed to processing. The key thing that helped my anxiety was realizing that if it was anything serious (like an audit), there would be different codes on the transcript. These codes are actually pretty routine and usually just mean they're double-checking something before releasing your refund. Hang in there!