Property tax reassessment varies by state. In California for example, Prop 19 changed things in 2021 - now inherited family homes get reassessed unless certain conditions are met (like you use it as your primary residence). Texas has different rules. You should check with your specific county tax assessor.

Thank you so much for this information! I hadn't even thought about the tax treaty benefits. My home country is India - are there specific treaty benefits I should be looking into when I file the 1040NR?

India does have a tax treaty with the US, and there are some benefits for students. Most notably, Indian students and business apprentices may be eligible to exclude a certain amount of income from US taxation. For students from India, you may be able to exclude income for teaching or research if you meet certain requirements. However, tax treaties are complex and the benefits vary based on your specific situation, status, and type of income. When you file your 1040NR, there's a section where you can claim these treaty benefits (usually on Form 8833).

This is so important! I made the same mistake last year and had to pay back the American Opportunity Credit I'd claimed. The amendment ended up with me owing money rather than getting the refund I initially received.

Thank you so much for pointing this out! I think I've been overthinking the "reimbursement" aspect. Since I'm essentially the same tax entity as my business, it makes more sense to just claim the mileage directly on my Schedule C for 2024 rather than worrying about formal reimbursement. This actually simplifies things a lot for me. I've kept detailed logs with dates, miles, and business purposes for all those December trips. Is there anything special I need to note on my tax return about this, or do I just include all those miles in my total business mileage for the year?

You've got it exactly right! Just include those December miles in your total business mileage for 2024 on your Schedule C. There's no special notation needed as long as you have your mileage log with the dates, destinations, and business purposes documented. The key is keeping that detailed log in your records (don't submit it with your return, but keep it in case of an audit). Make sure your log shows the dates were in 2024, and you're good to go. This is actually the most straightforward approach for a single-member LLC/sole proprietor.

Do you use any app recommendations for tracking mileage? I've been doing everything manually and it's such a pain.

Is there a specific place on the tax return where we note that we're using Form 4852 instead of a W-2? Or does just attaching the form take care of that?

Just attaching the Form 4852 to your return takes care of it - there's no special place you need to note it elsewhere on your return. The form itself has a field where you explain why you're using it instead of the W-2 (missing W-2, incorrect W-2, etc.), which gives the IRS all the information they need.

Yes! TurboTax actually handles this pretty well. When you get to the income section, there's an option that says something like "I don't have a W-2" or "My employer didn't give me a W-2." If you select that, it walks you through entering all the information from your paystubs and generates Form 4852 automatically.

Ugh, I feel even worse now knowing they saw me coming! Was there anything specific that made them charge me so much? I thought maybe it was the EIC calculations that were complicated, but you're saying that's actually simple?

The EIC and child tax credit calculations are completely automated in their software system. It's literally just clicking a few buttons and the computer does all the work. What they did was charge you their "deluxe" or "premium" package rates because you had tax credits. These places train their preparers to identify clients who might have refundable credits because those clients are often less price-sensitive (they're focused on the refund amount, not the preparation fee). They know you're getting a larger refund with those credits, so they take a bigger cut. Next year, remember that your return is actually quite straightforward and any of the major tax software options could handle it for a fraction of the cost.

Try Cash App Taxes next year (used to be Credit Karma Tax). Completely free for federal AND state, no income limits or hidden fees. I've used it for 3 years with W-2s, 1099s, and child credits with no issues.