The IRS is SOOOOO behind on everything this year. I filed in January and just got my refund last week after going through verification. The phone agents are actually pretty helpful once you get through to them, but yeah, gotta wait for that letter unfortunately. Set a calendar reminder for 21 days and try to forget about it until then (I know easier said than done when waiting for your money).

I feel your frustration! I went through something similar recently where my return was stuck in verification limbo. While there's unfortunately no way to skip the letter process, I'd recommend calling the IRS automated line (1-800-829-1040) periodically to check if there are any updates on your account status. Sometimes the verification hold gets released before the full 21 days if they resolve it internally. Also, make sure your address is current with the IRS - if the letter gets returned to them, it adds even more delays. You can update your address online through your IRS account if needed. One thing that helped me was preparing all my documents ahead of time (Social Security card, driver's license, prior year return, etc.) so I could respond immediately once the letter arrived. The verification process itself is usually pretty straightforward once you have the letter in hand. Hang in there - I know waiting for your refund money is incredibly stressful, especially when you need it!

You know what's funny (but not really)? The IRS will make you jump through hoops to prove you're you, but then they'll send a letter with your sensitive information through regular mail that could get stolen from your mailbox. 🙄 If you're tired of waiting, try calling the Taxpayer Advocate Service instead of the main IRS line. They sometimes have shorter wait times and can check the status of your letter or even help with the verification in some cases. Their number is 877-777-4778. Just be prepared to explain that you've been waiting beyond the normal timeframe for your verification letter.

This is exactly what happened to me last month! Filed on 1/28 and got stuck in the same loop - "still being processed" but portal showing "no taxes filed." The identity verification notification didn't show up in my IRS account until almost 3 weeks after filing, so definitely check that regularly. One thing that helped me was creating an IRS online account if you don't already have one. Sometimes the verification notifications show up there before they appear in the "Where's My Refund" tool. Also, when I finally got through to verify by phone (took 4 attempts over 2 days), the agent mentioned that filing early in the season can trigger more verification requests because their fraud detection algorithms are more sensitive during peak filing times. For anyone else in this situation: keep detailed records of when you filed, when you first checked your status, and when the verification notification appeared. This timeline can be helpful if you need to escalate or contact the Taxpayer Advocate Service later.

Do any Freshbooks users here use TurboTax? I'm in the same boat (no 1099) and wondering if there's a specific way to enter this in TurboTax that won't trigger red flags.

I'm dealing with a similar situation but with QuickBooks Online instead of Freshbooks. I process payments through Square and received over $15k in 2022, but no 1099-K from Square either. After reading this thread, I checked and confirmed I was under the 200 transaction threshold even though I exceeded $20k. What's really helpful here is seeing that multiple people have successfully filed without the official forms by using their own detailed records. I've been stressing about this for weeks thinking I was missing something crucial for my filing. One thing I'd add - if anyone is using multiple payment processors (I have both Square and Venmo Business), make sure to check each one separately for their thresholds and documentation. I almost missed tracking some Venmo payments because I assumed they'd be included with Square. Thanks to everyone who shared their experiences and solutions - this thread has been incredibly helpful!

Does anyone know if the IRS payment plan amounts automatically adjust when they apply overpayments like this? My monthly payment is auto-drafted and I'm wondering if it'll go down now that they applied an overpayment to my balance.

This is such a frustrating situation but you're definitely not alone! I went through something very similar with a CP49 notice last year. The key thing that helped me was understanding that the IRS often generates these notices based on planned actions, not completed ones. Since you found the TC 826 code on your 2021 transcript dated 11/28/2022, that's actually great news - it means the $1,215 overpayment was officially applied to your 2021 balance. The timing makes perfect sense too - your calls in November likely triggered them to actually process the transfer they had been planning since September 2021. One thing to watch out for: even though the overpayment has been applied, make sure to check if any interest or penalties were added to your 2021 balance after the original CP49 notice was generated. Sometimes the net effect on your balance isn't as much as you'd expect because of these additional charges. I'd recommend checking your online account balance in about 2-3 weeks to see if it reflects the full $1,215 reduction. If it doesn't match what you calculate from your transcript, that's when you might need to call again. But at least now you have the TC 826 transaction to reference!

Something nobody has mentioned yet - make sure your siblings document this properly on their end too. My cousins in Korea sent me money last year, and while I didn't have to pay US tax, they got hit with gift tax in Korea. Different countries have different thresholds and rules. Japan definitely has gift taxes so they should check with a local tax professional there!

This is such a helpful thread! I'm in a similar situation where my parents in the UK want to help with my wedding expenses. Reading through everyone's experiences, it sounds like the key points are: (1) I won't owe any gift tax as the recipient, (2) my parents likely won't have US gift tax obligations since they're non-US residents giving cash, and (3) I need to be aware of the Form 3520 requirement if it's over $100k. One thing I'm wondering about - does the timing of when the money arrives matter? Like if my parents send $50k this year and another $50k next year, would that change the reporting requirements since each individual year would be under $100k? Or does the IRS look at the total gift amount regardless of when it's received? Also, has anyone dealt with currency conversion issues? I assume we'd use the exchange rate on the day the money is received for any reporting purposes?