One tip for your 1040-ES that helped me: set up a separate savings account and automatically transfer 25-30% of each payment you receive as a contractor. That way when the quarterly payment comes due, you already have the money set aside and aren't scrambling. I learned this the hard way my first year when I spent everything I earned and then couldn't make my tax payments! The IRS penalties add up quickly.

Don't forget that as a self-employed person, you likely qualify for some retirement account options that can significantly reduce your taxable income! Contributing to a SEP IRA or Solo 401(k) will lower the income you're calculating your 1040-ES payments on. I reduced my quarterly tax payments by almost 30% by maxing out my retirement contributions. It's like paying yourself instead of the IRS.

Small business owner here. Weirdest legit deduction? My therapy sessions. I run a high-stress business and my doctor literally prescribed therapy for managing work-related anxiety. Deducted as a medical expense related to business operations. Also: dog food and vet bills (office dog that greets customers), Netflix (research for my content creation business), fancy coffee machine (client hospitality), part of my smartphone bill, audio books for commute (industry-related), and even some art for my office walls (client environment). Document. Everything. Keep photos, notes on business purpose, and save ALL receipts. I use my phone to take pics of receipts immediately and tag them with the business purpose.

As someone who's been running a small tech consulting business for 3 years, I've found some surprisingly legitimate deductions that my accountant initially raised eyebrows at: **Coworking space day passes** - When I need to meet clients in a professional setting or escape home distractions, these are fully deductible as office expenses. **LinkedIn Premium and other networking subscriptions** - Essential for lead generation and maintaining professional connections. **Books and audiobooks** - Even fiction can be deductible if it relates to understanding your target market or improving communication skills. **Partial gym membership** - I deduct about 30% since I often have informal client meetings there and it's part of maintaining the energy needed for demanding projects. **Domain names I never used** - Bought several domains for potential projects that never materialized, but they're still legitimate business expenses. The key I've learned is that the IRS cares more about *intent* and *reasonable business purpose* than whether something seems conventional. Just make sure you can articulate why each expense helps generate income for your specific business, and keep detailed records of the business purpose. My rule of thumb: if I can't explain in two sentences why it's business-related, I don't deduct it.

I'm in the exact same situation! Filed in February with a 570 code and still haven't gotten any verification letter. Reading through these comments is actually really reassuring - sounds like being proactive is the way to go instead of just waiting around. Going to try calling that hotline number first thing Monday morning and maybe check out that taxr.ai tool too. Thanks everyone for sharing your experiences, makes me feel less alone in this mess!

Been dealing with this exact issue! Filed in late January and just got my verification letter last week - took almost 4 months. The key thing I learned is that you can actually verify online through ID.me even without the letter. Just go to the IRS website and look for "Verify Your Identity" - saved me weeks of waiting. Also pro tip: if you moved recently, check with your old address too because they sometimes use outdated info. The whole process is frustrating but you're definitely not alone in this!

Is paying for a service like Claimyr really necessary though? According to Internal Revenue Manual section 21.1.3.3, taxpayers are entitled to status information on their returns without incurring additional costs. Per the Taxpayer Bill of Rights (IRC § 7803(a)(3)), we have the right to quality service and to be informed. Couldn't one just call early in the morning when wait times are shorter?

Have you actually tried calling the IRS recently? I'm curious about your experience if so. In theory, calling early makes sense, but in practice, the situation is quite different this tax season. I called at 7:01am last Tuesday (one minute after they opened) and still got the "due to high call volume" message and was disconnected. Tried again at 7:05am - same result. By 7:30am, I finally got into the queue but waited 2 hours and 47 minutes before speaking to someone. While you're absolutely right about taxpayer rights in principle, the practical reality is that the IRS is severely understaffed relative to call volume. What was your experience when you tried calling?

Has your daughter already started working there? If not, this could be a huge red flag about how they run their business. A company that misclassifies employees might also cut corners on other important things like safety, breaks, or paying minimum wage.

You're absolutely right to be concerned - this is a clear case of employee misclassification. The IRS has a simple test: if the employer controls what work is done, how it's done, and when it's done, then the worker is an employee. Your daughter will have set hours, receive training, wear their uniform, and work under their supervision - that's textbook employee status. I'd recommend having your daughter politely explain that she believes she should be classified as an employee and ask for a W-4 instead. She can mention that the IRS guidelines for her type of work arrangement indicate employee status. Most small businesses make this mistake out of confusion rather than malicious intent. If they refuse to correct it, you can file IRS Form SS-8 to get an official determination. But in most cases, a friendly conversation with the employer about the proper classification resolves the issue quickly.