I haven't actually tried asking my company about this. Is there a specific way I should approach this conversation with HR? I'm not sure if they have an official policy, but it makes sense that they should help cover these costs since they're not providing an office space.

I'd suggest starting with an email to your manager or HR outlining your home office expenses related to work. Be specific about costs like increased utilities, internet requirements for work, and any furniture or equipment you've purchased to do your job effectively. Frame it as a question about whether the company has an accountable plan or stipend program for remote workers, rather than demanding reimbursement. Many companies have these policies but don't publicize them well. If they don't have a formal policy, this could prompt them to create one, especially if other remote workers have similar needs.

This is really helpful! I'm in California - does anyone know if CA allows home office deductions for W-2 employees? I've been working remote for 2 years and haven't claimed anything because I thought it wasn't allowed anywhere.

Thanks for the warning! Would you recommend I include some kind of explanation with my return when I file? Or should I just wait and see if they send me a notice?

I would definitely include a brief explanation in the "additional information" section of your tax return if your software has that option. Just a simple note saying "Received two 1099-R forms from the same plan - one for total distribution (code 1) and one for net amount after loan offset (code M1)." You should also keep copies of both 1099-Rs plus any documentation from your plan administrator explaining the loan offset for at least 3 years. If they do send you a notice, having everything organized will make it much easier to respond quickly.

True about the state tax part, but don't forget the 10% federal penalty still applies in all states if you're under 59½. I learned that one the hard way. Also worth mentioning that depending on how much the distribution was, it could push you into a higher tax bracket for that year.

Where can you find these Certified Acceptance Agents? Are they at all H&R Blocks or is it a special place you need to go to?

Not all H&R Block locations have Certified Acceptance Agents (CAAs), but many do - you need to call and ask specifically. You can also find a complete list of CAAs on the IRS website by searching "IRS certified acceptance agent list" which shows all authorized agents by location. Some CAAs only work with certain types of clients though (like some only help businesses, others only help individuals), so make sure to ask if they handle individual ITIN applications when you call. Most charge a fee on top of any tax preparation services, usually around $50-100 for document verification, but it's worth it to avoid sending original documents.

Yes, you should notify the IRS when you switch from an ITIN to an SSN. Complete Form 8996 "Reconciliation of ITIN and SSN" and send it to the address on the form. You should file future tax returns with your SSN only and reference your previous ITIN on the form.

That's a good idea! I didn't even think to check my spam folder. I just found the notification email from February 1st buried in there. Clicked the link and got my form downloaded right away. Thanks everyone for the help! Between checking my spam folder and learning about those services if I need them in the future, this has been super helpful.

This is what I had to do last year. The transcript doesn't give you the actual form but at least tells you the amount and who reported it, which you can use on your tax return. The IRS "Get Transcript" online service is faster than mailing the form if you can verify your identity.

Good point about the online Get Transcript service being faster. I always forget that's an option since I had trouble verifying my identity in their system. The transcript does give you the box 1 amount (gross distribution) which is often all you need for basic tax filing if you know the distribution code. But you're right that it's not a replacement for the actual form if you need all the detailed breakdown.

Does this actually work? I tried creating an IRS account last year and they couldn't verify my identity online so I had to mail in a form. Never heard back after that.

It can definitely work, but not everyone can successfully create an online account. The IRS has pretty strict identity verification requirements. If you have certain credit freezes, recently moved, or don't have specific types of accounts they use for verification, you might get rejected. In that case, you can request a transcript by mail, but that defeats the purpose of getting quick access to solve an e-filing problem. Using the $0 AGI trick or calling the IRS directly might be faster options.

Don't mail your return if you can avoid it!!! I paper filed last year and it took 9 MONTHS to get my refund. The IRS is still processing paper returns from last year. Electronic is way faster if you can solve the AGI issue.