Don't forget that even though you had minimal activity, you still need to file Schedule K-1 for yourself as the sole shareholder. The $125 income (minus the $27 expense) will flow through to your personal return. Also check if your state requires a separate S-Corp filing - many do, even if you had minimal or no activity. Some states have minimum franchise taxes for S-Corps regardless of activity level, which can be a nasty surprise if you're not expecting it.

Great questions! I went through this exact same situation two years ago when I first elected S-Corp status for my single-member LLC. The minimal activity part is actually pretty common in the first year. A couple additional things to keep in mind beyond what others have mentioned: 1) Make sure you're comfortable with the ongoing compliance requirements. Even with minimal activity, you'll need to file Form 1120S every year by March 15th (with extensions available). There's also reasonable compensation requirements once you start having significant income. 2) For your $125 bank bonus, double-check if the bank issued you a 1099-MISC or 1099-INT. If they did, make sure the income amount on your return matches exactly what they reported to the IRS to avoid any automated matching notices. 3) Since you mentioned wanting to avoid giving out your SSN to clients - just remember that your S-Corp election doesn't change your LLC's legal structure. You're still an LLC for legal purposes, just taxed as an S-Corp. Some clients might still ask for your SSN if they're not familiar with this distinction. The learning curve is steep the first year, but it gets much easier once you understand the process. Good luck with your filing!

If you actually want to talk to the irs, use a calling service. I used claimyr.com and it was so much better than the literal days of my life I've wasted trying to reach them myself. It only took about 30 mins to get a person on the line who actually was helpful and told me exactly what the issue was with my return and how to fix it.

This verification of non-filing notice can definitely be confusing, especially when you know you filed! A few things to consider: 1. The timing suggests your return might still be in the processing queue when someone (likely a lender, school, or benefit agency) requested verification of your filing status. Since you filed in February and the verification was requested in early March, there could be a processing delay. 2. Check your IRS account online to see if your return shows up as "received" or if there are any processing holds (codes like 570 or 971). 3. Since you mentioned getting acceptance from TurboTax within 24 hours, that's a good sign - but acceptance just means it passed initial validation, not that it's fully processed. 4. The tracking ID format (starting with 10758) might indicate which type of entity requested the verification, but that's not something to worry about. My recommendation: Call the official IRS number (800-829-1040) to verify your return was received and ask about any processing delays. Don't use any numbers from the notice itself - always call the main IRS line. If you can't get through after several attempts, some people have had success with calling services that help navigate the phone system. This is likely just a timing issue rather than anything fraudulent, but it's worth confirming with the IRS directly.

Don't ignore this situation! I did that with a much smaller tax debt that went to a private collector, and eventually, they returned it to the IRS who then filed a Notice of Federal Tax Lien against me. That destroyed my credit and made it impossible to refinance my house. Deal with it proactively even if you can't pay right now.

I'm in a very similar situation with back taxes from 2019-2021 totaling around $38k that got transferred to CBE Group. One thing that really helped me understand my options was getting a free consultation with a tax attorney through my local bar association's referral service. The attorney explained that while CBE can't directly garnish wages like the IRS can, they will likely try to get you to agree to a payment plan that might be more than you can actually afford. If you can't make those payments, they'll send it back to the IRS who then has all their collection powers available. Given that you've been unemployed for a year, you should definitely look into Currently Not Collectible status before you start working again. The IRS considers your current financial situation, not your future earning potential. If you qualify for CNC status while unemployed, it could buy you time to get back on your feet financially before having to deal with payments or garnishments. Also, don't let CBE pressure you into a payment plan immediately. You have rights and options - take time to understand them all before committing to anything.

Quick question - do I have to pay taxes on comps I get from the casino? Like free hotel rooms and meals?

This is such a timely post for me! I just had my first big casino win last month ($7,500 on a progressive slot) and was totally unprepared for the tax implications. The casino did withhold the 24% federal tax, but I had no idea that wasn't the end of it. What really caught me off guard was learning that ALL my gambling winnings for the year need to be reported, not just the ones where taxes were withheld. I had several smaller wins throughout the year that I completely forgot about until I started reading up on this stuff. Now I'm scrambling to piece together all my casino visits and trying to figure out what I actually won vs lost. The good news is that since my regular income is pretty modest, the additional gambling income won't push me into a higher bracket where I'd owe significantly more than what was already withheld. But lesson learned - next time I'm keeping much better records from day one!

You know what's funny about government benefits? They expect you to be a lawyer, accountant, and mind reader all at once! But seriously, I think there's one detail we haven't addressed yet - if the money comes through tax intercept (which it sounds like it will), it technically comes to YOU, not directly to either child. That means you have some control in how you document and use those funds. If you can show the money is being used exclusively for your older daughter's expenses, that helps your case with SSI. Keep receipts for anything you buy specifically for your older daughter with those funds.

This is such a stressful situation to navigate! I went through something similar when my ex's tax refund was intercepted for back support. The timing was terrible because my youngest had just started receiving SSI. Here's what I learned the hard way: even though the money comes to you as the custodial parent, SSA looks at WHO the support is legally owed for. My state's child support enforcement office was actually really helpful - they provided me with a detailed breakdown showing exactly which periods the arrears covered and which child they were for. I'd recommend calling your state's child support office BEFORE the money arrives and asking for documentation that specifies the beneficiary. Also, report it to SSA immediately when you receive it, even if you think it won't affect benefits. Being proactive with reporting looks much better than them finding out later. The whole "jealous friend" analogy is spot on - SSI really doesn't like surprises!