Just wanted to add that this mistake happens more often than you'd think. My broker did something similar last year when I transferred securities between accounts. They lost the original purchase date and reported everything as if I'd bought the shares the day they arrived in the new account. Make sure you check ALL your 1099-B forms carefully, especially if you: - Transferred securities between brokerages - Had any corporate actions (stock splits, mergers, etc.) - Participated in dividend reinvestment plans - Made wash sales These scenarios often cause reporting errors on 1099-Bs.

This is exactly why I always keep my own detailed records of all stock purchases and sales, completely separate from what my brokerage reports. I use a simple spreadsheet with purchase dates, amounts, and prices for every transaction. When situations like this come up, I have my own documentation to back up the correct information. It's saved me multiple times when brokers made errors on 1099-B forms. I'd recommend everyone do this going forward - don't rely solely on your brokerage's record-keeping. For your current situation, definitely pursue this aggressively. The tax difference between short-term and long-term treatment on a substantial NVIDIA gain could be thousands of dollars. If you have any old account statements, email confirmations, or even bank records showing the original purchase in December 2020, use those to support your correction on Form 8949.

Everyone saying cash is fine if documented is glossing over a huge issue - in an audit, the burden of proof is on YOU. Yes technically the IRS can accept any reasonable documentation, but in practice, card statements are WAY stronger evidence. My sister went through an audit last year on her small business and they rejected about 40% of her cash purchase deductions despite her having a log and some handwritten receipts. They said her documentation wasn't "sufficiently reliable" compared to her card purchases, which they accepted 100%. Just because some people got lucky in audits doesn't mean cash purchases are equally accepted. If you want to be safe, use a card whenever possible, especially for higher value items.

As someone who's dealt with IRS documentation requirements professionally, I want to emphasize that the key isn't whether you pay with cash or card - it's the quality and consistency of your record-keeping system. The IRS follows the Cohan rule, which allows reasonable estimates of expenses when you have some supporting evidence, even if it's not perfect. However, this doesn't mean sloppy records are acceptable. For cash purchases, here's what I recommend: 1. Create a standardized receipt template you can fill out for person-to-person sales 2. Always photograph items at time of purchase with visible price tags when possible 3. Keep a detailed purchase log with consistent formatting 4. Document the source of your cash (ATM withdrawals, etc.) 5. Cross-reference your records - if you bought 5 items at a flea market, your log should show 5 entries for that date/location The people mentioning audit experiences are right that scrutiny varies. But I've seen well-documented cash purchases accepted and poorly documented card purchases questioned. The IRS cares more about whether your records tell a coherent, believable story than the payment method itself. Don't let fear of documentation requirements stop you from legitimate business deductions - just be thorough and consistent from day one.

Just wanted to add another perspective on documentation - I went through a similar situation last year and found that maintaining a simple spreadsheet with dates worked really well for tracking custody. I included columns for pickup/dropoff times, who had the kids each night, and any deviations from our normal schedule. What really helped during my IRS review was that I also kept copies of things like: - School pickup/dropoff records (many schools track this) - Medical appointment records showing which parent took kids - Activity registrations and who transported them - Even grocery receipts showing kid-related purchases on specific dates The key thing I learned is that the IRS wants to see a pattern of actual physical custody, not just what's written in your divorce agreement. Since you mentioned having the kids "slightly more than 50%" of nights, make sure you can prove that specific percentage with real dates and documentation. Also, don't forget that overnights count more than just daytime hours - the IRS specifically looks at where the child slept, not just spent time during the day. So even if your ex picks up the kids after school but they sleep at your house, that night counts toward your custody percentage.

Great question about Head of Household status with split custody! I went through this exact situation after my divorce two years ago. The key thing to understand is that Head of Household eligibility and dependency exemptions are actually two separate tests under IRS rules. For HoH status, what matters is physical custody - where your children actually sleep for more than half the nights in the year. The fact that you're splitting the dependency exemptions (one child each) doesn't disqualify you from HoH as long as at least one qualifying child lives with you more than 50% of the time. Since you mentioned having the kids "slightly more than 50% of the nights," you should qualify for Head of Household status. Just make sure to document this carefully - count the actual overnights, not just what your separation agreement says. I kept a simple calendar marking which nights each child was at my house, and it really helped when I was preparing my taxes. One thing to double-check: make sure your divorce is finalized by December 31st of the tax year you're filing for, since you need to be "considered unmarried" to qualify for HoH status. It sounds like your February 2023 finalization should cover you for the 2023 tax year. The tax savings from HoH versus Single filing status can be significant, so it's definitely worth getting this right!

I work as a tax preparer and see this confusion every single year during tax season! You're absolutely right to want clarity on this because it does matter for your tax planning. The rule is straightforward: W2 reporting follows when wages are actually PAID to you, not when they were earned. Since your December 31st pay period won't result in a paycheck until January 2025, those wages will appear on your 2025 W2, not your 2024 W2. This "cash basis" rule applies even if your employer has already calculated what they owe you or determined the tax withholdings. Until that money is actually available to you (via paycheck, direct deposit, etc.), it doesn't count for the current tax year. Your employer's vague "depends on our accounting system" response probably refers to their payroll processing cutoffs and year-end schedule. Most companies have specific deadlines for which pay periods make it onto each year's W2s. For your 2024 tax filing, you can proceed knowing those December wages won't be included. Just make sure to keep that final pay stub from December so you can verify it shows up correctly on your 2025 W2 when you receive it next year. This is also a good reminder to ask your payroll department about their year-end cutoff schedule for future reference!

I've been dealing with payroll for over 15 years and can absolutely confirm what everyone has said - it's 100% based on when you actually receive the payment, not the pay period dates. This is one of the most common questions I get from employees around year-end. Your employer's response about "depending on their accounting system" actually makes sense from a payroll perspective. What they're referring to is their year-end cutoff schedule - most companies establish specific deadlines for which payroll runs will be included in each tax year's W2 reporting. These cutoffs are usually set months in advance to ensure compliance with IRS deadlines for issuing W2s. Since your pay period ended 12/31 but the actual paycheck won't be processed until January 2025, those wages will definitely appear on your 2025 W2. The IRS is very clear that wages are reported in the tax year they're paid to the employee, regardless of when the work was performed. One tip for future years: ask your HR department for their annual payroll calendar, which should show their year-end processing cutoffs. This will help you plan better and avoid this uncertainty. Also, when you get your 2025 W2, double-check that your December earnings are included correctly by comparing against your final 2024 pay stub. This timing quirk happens to thousands of employees every year, so don't worry - your situation is completely normal and your employer should handle the reporting correctly!

Anybody know if there's any way around providing your SSN to Ticketmaster? I'm in the same situation - sold tickets for a $75 loss and now they want my tax info before releasing my money. I'm really uncomfortable giving them my full SSN.

I went through this exact same issue with Ticketmaster about 6 months ago. Yes, this is completely legitimate - they're required by law to collect tax information for any payments over $600 due to the American Rescue Plan Act changes that went into effect in 2022. A few important points: 1. You DO need to provide your SSN to get your money - there's no way around this unfortunately 2. Make sure you're filling out the form through Ticketmaster's official website or app, not through any email links 3. Since you sold at a loss ($285 → $220), you won't owe any taxes on this transaction 4. Keep all your documentation (original purchase receipt, resale confirmation, etc.) for your tax records The process took about a week for me after I submitted my tax info. I know it feels invasive, but unfortunately it's the new reality with these platforms. The good news is that this protects you too - you'll get proper documentation showing you sold at a loss, which can be helpful for your tax records. Just make absolutely sure you're dealing with the real Ticketmaster and not a phishing attempt. When in doubt, log into your account directly through their main website rather than clicking any links.