TurboTax does have a rental property section where you can add depreciable assets, but it's pretty basic. It doesn't handle tracking the disposal of individual furniture items well over multiple years. I switched to TaxAct which has slightly better rental property features, but still had to maintain a separate spreadsheet for tracking my furniture items.

Thanks for that info! Sounds like I might need to keep a separate tracking system regardless of which tax software I use. I'm guessing none of the consumer tax programs really handle the complexity of multiple furniture items with different depreciation schedules and disposal dates.

Is there an easy way to fix this? I transferred some ETH from Coinbase to Robinhood in 2022 and I'm worried my 1099 is showing zero cost basis for those.

You'll need to manually adjust the cost basis on Form 8949. There's a column specifically for corrections. Just enter the correct amount you originally paid and include a brief explanation code (usually "B" for basis adjustment). Keep all your receipts and transaction records though! If you get audited, you'll need to prove your actual cost. For your ETH transfers, you'll need the original purchase price from Coinbase. The annoying part is Robinhood won't know that info, so your 1099 will likely show $0 basis. That's why many crypto traders end up significantly overpaying on taxes if they don't make these adjustments.

Robinhood is just following their internal reporting system. You're right that wash sale rules don't technically apply to crypto (it's treated as property not a security). When I did my taxes I had to manually adjust this on my forms and include an explanation.

Does ATX include all the forms I'd need for basic 1040s with some small business clients? And do they offer any kind of training or is it mostly learn-as-you-go?

Yes, the basic package includes everything you'll need for 1040s including all schedules (A, B, C, D, E) and common small business forms. They actually have pretty good built-in help content - when you're on a specific form, you can access relevant IRS instructions and explanations right there. They do offer some training webinars too, usually around the beginning of tax season. The learning curve isn't too steep if you already have some tax knowledge. Their customer service can help with software questions, but they won't give tax advice (no software company really does that for liability reasons).

Absolutely agree about need for research tools! I use both TheTaxBook and sometimes CCH answers when things get complex. Do you think the online version of TheTaxBook is better than the physical books? I'm old school and like having the paper versions.

Wouldn't filing an amended return be redundant at this point? The IRS already knows about the income and has calculated what I owe. Would there be any benefit to going through that process now?

Filing an amended return is still beneficial even after receiving an audit notice. When you file your own amendment, you have the opportunity to present the complete picture of your tax situation - including any deductions or credits related to that income that the IRS might not have considered. The IRS calculation in the notice only adds the income they discovered and recalculates your tax. They don't automatically apply any potential deductions you might be entitled to from that business relationship. By filing Form 1040-X, you're taking control of the narrative rather than just accepting their adjustment.

I second this. I had penalties waived using Form 843 when I had a similar situation with a late 1099-K from PayPal. Make sure to include dates, copies of when you received the 1099, and a clear explanation. Be super polite and straightforward in your letter!

I've always checked "single" since I'm not married and don't have dependents. Didn't realize head of household might apply! I do have some student loans but they're pretty new. How would I know if I qualify for HOH status?

To qualify for Head of Household, you generally need to be unmarried and pay more than half the cost of keeping up a home for yourself and a qualifying person (like a dependent child). If you live alone or with roommates but don't support a qualifying dependent, you'd still file as Single. For student loan interest, you can deduct up to $2,500 in interest payments per year, depending on your income. You should receive a Form 1098-E from your loan servicer showing how much interest you paid. Even new loans can generate interest while you're in school, so definitely look into this!

This! My employer had me as "married" instead of "single" on my W-4 for some reason, which meant they were withholding at a lower rate. Took me three years to figure this out! Check your paystub and see what filing status they're using for your withholding.