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Something similar happened to me in 2022. They ended up sending a letter asking for marriage certificate. Might wanna check your mail carefully next few weeks
ugh hope thats not the case but good to know, thx!
Been through this exact same thing! Filed MFJ for the first time in 2022 and had the same pattern - my transcript updated with 570 while my husband's stayed N/A for weeks. Turns out they were just verifying our marriage status since it was our first joint return. The 570 eventually cleared after about 3 weeks and then his transcript updated shortly after. Just be patient, it's totally normal for first-time MFJ filers. The IRS likes to double-check everything when your filing status changes!
Make sure you understand the difference between employees and independent contractors too. If these people are legitimate independent contractors (responsible for their own work methods, use their own equipment, work for multiple clients, etc.), then the tax reporting requirements are different. The company would still need to issue 1099s for payments over $600, but wouldn't be responsible for payroll taxes. That said, from what you described - regular weekly payments that sound like wages - this sounds like employee misclassification, which is definitely something the IRS cares about.
This is a really good point. I've seen so many small businesses try to classify everyone as "independent contractors" when they're clearly employees by IRS standards. They have scheduled hours, use company equipment, are told exactly how to do the work, etc. Classic employee misclassification.
Just want to add something about documentation that might help - even without access to official payroll records, there are ways to strengthen your case. Keep a detailed log of what you observe: dates, approximate amounts you see being handed out, which employees receive cash payments, any overheard conversations about the arrangement, etc. Also, if you have any text messages, emails, or written communications that reference the cash payment system, those could be valuable. Even seemingly innocent messages like "pick up your pay from John's office" or references to "cash bonuses" can help establish a pattern. The IRS investigators are experienced with these situations and know how to build cases from circumstantial evidence. Your firsthand observations as an employee carry significant weight, especially if you can provide specific details about the scope and duration of the scheme. One more thing - document everything you can about the working conditions of these cash-paid workers. If they're clearly employees (set schedules, using company equipment, following company procedures) rather than independent contractors, that strengthens the misclassification aspect of the case.
Filed mine on Feb 8th and still waiting too. The processing delays are brutal this year. At least knowing it's not just me makes me feel a bit better. Has anyone tried calling IDOR directly or is that pretty much useless?
I tried calling IDOR last week after waiting 6+ weeks and honestly it was pretty useless. Spent 45 minutes on hold just to be told the same thing the website says - "your return is processing, please wait." The rep couldn't give me any specific timeline or reason for the delay. Might be worth a shot if you've been waiting 8+ weeks but otherwise I'd just keep checking the website daily š¤·āāļø
Another thing to consider is that different countries have different inheritance tax treaties with the US. This can affect what assets are subject to US estate tax and how the transfer certificate process works. For example, if your father was a resident of a country that has an estate tax treaty with the US (like UK, Germany, France, etc.), you might be entitled to more favorable treatment or simplified procedures. Worth checking if your country has such a treaty!
Thank you for bringing this up! My father was a resident of Germany, which I believe does have an estate tax treaty with the US. Do you know how this might specifically affect our filing requirements for the 706-NA or the transfer certificate process?
Yes, Germany does have an estate and gift tax treaty with the US! This is good news for you. The treaty provides several benefits that may simplify your situation. Under the US-Germany treaty, you may be entitled to a pro-rated unified credit against the US estate tax, beyond the standard $13,000 credit given to non-treaty countries. This often results in no US tax being due for estates under a certain threshold. Additionally, the treaty clarifies which country has primary taxing rights for certain types of assets, potentially reducing double taxation. For the 706-NA filing specifically, you'll need to cite the treaty provisions you're relying on (usually in an attached statement). You should also include documentation proving your father's German residency at time of death. While you still need to file the 706-NA to get the transfer certificate, the treaty provisions may reduce your reporting burden or tax liability.
One thing nobody mentioned yet - be careful about the timing! There's a 9-month deadline from the date of death to file Form 706-NA. If you miss this deadline, you might face penalties or complications. Also watch out for currency conversion - all values have to be in USD based on the exchange rate on the date of death, not the current rate. The IRS is very specific about this.
Is there any way to get an extension on that 9-month deadline? My aunt passed away 7 months ago and we're just now figuring out she had US investments. Getting all the documents together in 2 months seems impossible!
Zainab Ahmed
Check if you can open a case with USPS. Sometimes they can track it down if its lost
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Connor Byrne
ā¢dont bother with usps, they just gonna give u the runaround
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Lucas Notre-Dame
Had the same issue last month - my check was mailed on Jan 15th and didn't arrive until Feb 3rd. That's almost 3 weeks! I called the IRS after 2.5 weeks and they said mail delays are super common right now. They can do a payment trace if it's been 4+ weeks, but honestly just hang tight a bit longer. The stress isn't worth it when most checks do eventually show up.
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