Check if there might be a mistake with the "basis" tracking for your Roth. When I contributed to my Roth after doing a backdoor conversion from Traditional, my brokerage messed up the basis reporting and I got a similar penalty notice.

I've seen this exact situation before, and it's incredibly frustrating when you know you've done everything right! Based on your description, I'd strongly recommend getting a copy of Form 5498 from your IRA provider - this is the form they send to the IRS reporting your contributions. Sometimes there are discrepancies between what you think you contributed and what was actually reported. Also, double-check if you have any employer retirement plan contributions that might affect your eligibility. Even though the income limits for Roth IRAs are separate from 401(k) plans, sometimes people get confused about the interaction between different retirement accounts. One more thing to consider - if you received any unemployment compensation or other income that might not have been on your W-2, that could push your MAGI higher than expected. The IRS calculations can be tricky, and sometimes income sources we forget about can cause issues. Don't panic though - if this is truly an error, it's absolutely fixable. Document everything and be prepared to show your work. The IRS will correct legitimate mistakes, it just takes patience and proper documentation.

OMG I'm in the same boat! Filed 1040X on 3/15, received 3/22. Still nothing but "received" status on WMAR. Literally check it 2x daily lol. Hoping for movement soon bc need $ for summer vacation. Thx for posting this Q - makes me feel better knowing I'm not alone in the waiting game!

I'm experiencing a similar situation with my amendment. Filed 1040X on 3/12, received confirmation 3/19, and still showing "received" status on WMAR. What I've learned from researching this is that the IRS processes amendments in batches, and March filings unfortunately coincide with peak tax season volume. From what I've gathered, the "received" status can persist for 12-16 weeks before any movement occurs. One thing that helped ease my anxiety was calling the Taxpayer Advocate Service (TAS) at 1-877-777-4778 - they can't speed up processing but they can confirm if there are any issues preventing normal processing. Also, I'd recommend documenting everything for your records, including screenshots of WMAR status and dates, in case you need to escalate later. The honeymoon fund stress is real, but try not to let it consume your daily thoughts - the system is just overwhelmed right now.

I think people are making this way more complicated than it needs to be. The rule is simple - ALL income is taxable, whether you get a form for it or not. The 1099 thresholds are just about when companies have to REPORT the income to the IRS, not about when YOU have to report it. If you're trying to make money (which it sounds like you are), then it's a business and you need Schedule C. End of story. Doesn't matter if you made $10 or $10,000. The good part is you can deduct expenses, including part of that tablet. The "hobby vs business" thing only matters if you're showing losses for multiple years and the IRS thinks you're just trying to create artificial losses to offset other income.

Just want to add something important - if you file Schedule C and show a profit over $400, you'll also need to pay self-employment tax (Social Security and Medicare) which is about 15.3%. Since you said you made about $380 from commissions plus $790 from templates, that's $1,170 total, so you'd definitely owe SE tax. BUT! Don't forget expenses. If you bought that tablet this year, software subscriptions, maybe a portion of your internet bill if you use it for business, those are all deductible expenses that reduce your profit and potentially your tax. My advice - track EVERYTHING. Keep receipts. Log hours spent on business vs personal use for things like your tablet. It'll make tax time way easier and could save you money.

Have you tried using the Interactive Voice Response (IVR) system? Call 410-260-7701 from the phone number you listed on your tax return. The automated system can give you status updates that sometimes aren't reflected on the website yet. Another option is to verify your mailing address is correct - I've seen cases where refunds were delayed because the system flagged address mismatches between current and previous year returns. The Maryland Taxpayer Service Division can also manually check your refund status if you've waited more than 30 days.

I filed my Maryland return on February 8th and just got my refund deposited yesterday (March 20th), so they are definitely processing them! The timeline seems to be around 5-6 weeks for most people this year. One thing that helped me was setting up direct deposit - I noticed friends who opted for paper checks are waiting even longer. Also, if you claimed any credits like the Earned Income Tax Credit or Child Tax Credit, those seem to be taking extra time for verification. The good news is once they start processing your return, the actual deposit happens pretty quickly. Hang in there - Baltimore folks I know are all getting theirs within this timeframe!

Remember that medical expenses including transportation are only deductible if you itemize AND they exceed 7.5% of your AGI. So if your mom's AGI is $40,000, only medical expenses over $3,000 would be deductible. Do the math first to see if it's even worth the effort!

Great advice from everyone here! I'd also recommend checking if your mom's city has a transit app or website that might show her card transaction history. Some transit systems now keep records of tap-in/tap-out data that you can access online, even if you didn't think to save receipts at the time. Also, don't forget that if she had to pay for parking at any medical facilities during those other 4 visits with rideshare, those parking fees are also deductible medical expenses. Sometimes people overlook the small additional costs that add up. The documentation approach everyone's suggesting is solid - the IRS really does understand that public transit doesn't always provide individual receipts. Your appointment records plus the standard fare documentation should be more than sufficient to support the deduction.