Do you know approximately how much CAAs typically charge? And do they actually speed up the IRS processing time or just the document verification part? I'm trying to decide if it's worth the extra cost.

CAAs typically charge between $50-$300 depending on your location and the complexity of your situation. They don't actually speed up the IRS processing time for issuing the ITIN itself, but they eliminate a huge bottleneck in the process - the document verification stage. When you apply on your own, the IRS has to verify all your identity documents before even starting to process the ITIN application, which can add weeks. CAAs are pre-authorized to do this verification, so your application enters the IRS system at a more advanced stage. Another benefit is that you keep your original documents, which reduces risk and stress.

I did exactly this last year. You can write "ITIN Applied For" on your tax forms and file them with your W-7 application. Once the IRS processes your ITIN application, they'll associate the number with your already-filed return. Just make sure to keep copies of EVERYTHING.

That's a really good point I hadn't considered! The job is offering a high-deductible plan ($2,750) while my partner's plan has a $1,000 deductible. And you're right about the gap - I'm not sure if there would be a waiting period to get back on his insurance after my job ends. Do you know if special enrollment periods apply when you lose job-based coverage?

Yes, losing job-based coverage does qualify as a special enrollment event that would allow you to join your partner's plan outside the normal enrollment period. You typically have 30 days from the loss of coverage to request enrollment in the new plan. As for the deductible difference, that's definitely something to consider carefully. Also look at the premium costs - what would your employer charge versus what your partner's paycheck deduction would be for adding you? Sometimes the premium difference can outweigh the deductible savings. And don't forget to compare the networks - make sure your doctors are covered in both plans before making a decision.

This is super important! I got a high-paying temp job last year and didn't realize it was 1099 until I got my first check with NO taxes taken out. Was a huge shock when tax time came around. OP should definitely clarify if it's W-2 or 1099 before making any decisions.

Thanks for mentioning this! Do I need to make those quarterly payments even if I still have my W2 job where taxes are being withheld? And roughly what percentage should I be setting aside?

Even with a W2 job, you might still need to make quarterly payments on your contractor income. It depends on how much you're making and if your W2 withholding covers your total tax liability. A safe approach is to set aside about 30-35% of your contractor income for taxes (federal, state, plus self-employment tax which is 15.3%). You can use the IRS withholding calculator to get a more precise estimate based on your total income from both sources. Some people also increase their W2 withholding instead of making separate quarterly payments - that's another option if your employer allows it.

Actually, some places still use 1099-MISC for certain types of payments. I got both types last year - 1099-NEC for my consulting work and 1099-MISC for some royalty payments. Depends on the type of income.

Would this work for crypto? I've got some ETH that's gone up like crazy and I'm trying to figure out how to cash some out without giving half to Uncle Sam.

Yes, it can work for cryptocurrency. The key is that the trust sells it after you've donated it, so the trust itself doesn't pay capital gains tax on the appreciation. You'll need to find a trustee comfortable with handling crypto assets though, as some traditional trustees aren't familiar with the process. Keep in mind that you're ultimately giving a portion to charity - this isn't a strategy to avoid taxes completely while keeping all the money. But the tax benefits plus the income stream can make the math very favorable compared to just selling and paying capital gains tax directly.

I looked into something similar for my business. The Wyoming LLC part can work for privacy and some liability protection, but it doesn't magically change your tax situation. The IRS follows the money regardless of how many entities you put in between. And trying to loan yourself money through your own entities gets really tricky really fast.

Thanks for mentioning this! My AGI was definitely under the threshold (around $27,500 that year), so I should have gotten the full amount. I don't have any dependents though. When filing the amended return, do I need to provide any proof that I didn't receive the payments?

You usually don't need to provide direct proof that you didn't receive the payments. The IRS can check their records to see if payments were issued to you. However, it helps to include a brief statement explaining that you never received the payments and are now claiming the Recovery Rebate Credit you were eligible for. If the IRS believes they already sent you the payments, they might reject your amended return. In that case, you would need to request a payment trace to determine what happened to those payments. But start with the amended return first since their records will likely show no payments were made.

This happened to me too! The IRS tried to deposit to my old bank account, it bounced, then they mailed a check to my old address. By the time I figured it all out, it was too late to request a trace. I had to claim it on my taxes.

I did move in late 2020, but I thought I updated my address with the IRS when I filed my 2020 taxes. Maybe the second or third payment got sent to my old place? The mail forwarding probably would have expired by then too. I'm definitely going to check out both the tax amendment option and trying to call the IRS directly to see what happened. This whole process is so frustrating!