This thread has been incredibly helpful! I'm dealing with a CP140 notice myself (just received it yesterday) and I'm taking notes on everyone's strategies. One question I haven't seen addressed yet - for those who successfully got interest or penalties removed, how long did the whole process take from start to finish? I'm trying to decide whether to pay immediately to stop additional interest from accruing, or wait to see if I can get some relief first. Also, did anyone run into issues with the IRS claiming they DID send previous notices even when you have proof you didn't receive them? I'm worried about getting into a "he said, she said" situation where they insist notices were sent but I have no way to prove I didn't get them.

I want to add one more resource that hasn't been mentioned yet - the Taxpayer Advocate Service (TAS). If you're having trouble getting the IRS to respond to your requests or if you're facing financial hardship because of this situation, you can contact TAS at 1-877-777-4778. They're an independent organization within the IRS that helps taxpayers resolve problems when normal channels aren't working. TAS can be particularly helpful if you're dealing with systemic issues like notices going to wrong addresses repeatedly, or if the IRS isn't responding to your abatement requests within reasonable timeframes. They have the authority to issue Taxpayer Assistance Orders that can stop collection actions while your case is being reviewed. I used TAS last year when the IRS kept insisting I owed money that I had already paid, and they were able to get everything sorted out within a few weeks when my own calls and letters weren't getting anywhere. It's a free service and they really advocate for you against the IRS bureaucracy. Worth keeping in your back pocket if the standard approaches don't work out.

I just completed this exact process for my S-Corp last year and wanted to add a few practical tips that might help! You're definitely on the right track with Form 1128, and the automatic approval route for S-Corps switching to calendar year is pretty straightforward once you understand the timeline. One thing I wish someone had told me earlier: start gathering your documentation now, even though you won't file Form 1128 until 2026. You'll need your articles of incorporation, S-Corp election forms, and previous tax returns as supporting documents. Having these organized ahead of time made the actual filing much smoother. Also, consider setting up a separate folder or file for tracking the transition. You'll be dealing with three different tax periods during this change: your final August 2025 fiscal year return, the short-year return for September-December 2025, and then your first full calendar year return for 2026. Keeping everything organized by period helped me avoid mixing up deadlines and requirements. One last suggestion: if you're planning to do this yourself, consider at least having a tax professional review your Form 1128 before filing, even if you complete it yourself. The automatic approval process is reliable, but getting it right the first time saves you from potential delays or IRS questions later. The peace of mind was worth the consultation fee for me!

I just went through this exact same process for my LLC with S-Corp election earlier this year, and I totally understand the confusion about Form 1128 deadlines! The IRS instructions really are written like they assume you already know what you're doing. Here's what I learned after digging through Revenue Procedure 2006-45: You qualify for automatic approval under Section 6.02 since you're switching FROM fiscal year TO calendar year as an S-Corp. The key is that you haven't used this automatic procedure in the past 48 months, which you haven't since you've been filing fiscal year since 2022. For timing, you DON'T need to file Form 1128 before your new tax year begins. Instead, you file it by the due date of your FIRST return under the new tax year. So if you want to switch to calendar year starting January 1, 2025, you'd file Form 1128 by March 15, 2026 (or September 15 with extension). The form itself is actually pretty manageable once you know you're doing automatic approval - you skip Part II entirely and focus on Parts I and III. For the business purpose, something simple like "to simplify tax compliance and align with calendar year operations" works fine. One heads up: you'll need to file a short-year return for your transition period (September 1 - December 31, 2025), which has its own deadline and requires some annualization calculations. Most tax software handles this, but it's worth double-checking those calculations. Good luck with the switch - it's definitely worth it to get everything aligned on calendar year!

FYI: Make sure you understand the new 1099-K thresholds. They were supposed to drop to $600 but the IRS pushed it back. For 2023 (filing in 2024), the threshold is $20,000 AND 200 transactions. For 2024 (filing in 2025), it's $5,000. So if you sold $5300 worth of gear in 2023, you might not even get a 1099-K unless you also had 200+ separate transactions! Worth checking the current rules before worrying too much.

As someone who's been through this exact situation, I can confirm what others have said - the 1099-K is just a reporting document, not a tax bill. I sold around $4,200 worth of music gear last year and was initially panicked about the tax implications. The reality is that most musicians selling personal gear are doing so at a loss. I kept a simple spreadsheet tracking what I originally paid versus what I sold each item for. Out of 15 items sold, only 2 vintage pedals actually sold for more than I paid originally - those were the only ones that generated taxable income. My advice: Start documenting everything now. Even if you don't have original receipts, gather what you can - credit card statements, emails, or research what those items typically cost when you bought them. The IRS understands that people don't keep receipts for personal items forever, but you need to make a reasonable effort to establish your cost basis. Also, don't forget that any improvements or modifications you made to the gear can be added to your original cost basis, which further reduces potential taxable gains.

Rita, I'm currently experiencing the exact same situation - 810 freeze for 7 days now after filing on March 2nd. Like you and many others in this thread, I'm a new homeowner who claimed mortgage interest ($10,500), property taxes ($3,100), and student loan interest ($2,400). Reading through all these experiences has been so educational! What really clicked for me was NebulaNomad's explanation about the Document Matching Program - it makes perfect sense that the IRS would verify our deduction amounts against what our lenders reported, especially for first-time homeowners like us. Your amounts look completely normal and well-documented. The $11,421 mortgage interest, $3,842 property taxes, and $2,500 student loan interest are all within the ranges others have shared here. At 9 days, you're still well within that typical 14-21 day resolution window everyone's mentioned. I've definitely been guilty of the obsessive transcript checking too (sometimes 4x daily!), but I'm going to follow Kennedy's advice about switching to Wednesday morning checks only. The consistency in everyone's timelines here is actually really reassuring - it shows this is just normal processing rather than a red flag. For your kitchen renovation - I totally understand the frustration of having to delay projects! But based on all the shared experiences here, it sounds like we just need to be patient during these first few weeks. The good news is that once these 810 codes resolve, refunds typically deposit within 2-3 business days. Hang in there - we're all in this waiting game together! 🤞

Rita, I'm currently on day 4 of my first 810 freeze (filed March 11th) and this thread has been absolutely incredible for understanding what's happening! Like so many others here, I'm a new homeowner who claimed mortgage interest ($10,800), property taxes ($3,500), and student loan interest ($2,350). What's amazing is how this community has provided better guidance than hours of searching IRS resources. The Document Matching Program explanation from NebulaNomad was a game-changer - understanding that they're just verifying our amounts against lender reports makes this feel like standard procedure rather than something to worry about. Your amounts are completely in line with what everyone else is reporting, and at 9 days you're tracking perfectly within that 14-21 day window. I know the kitchen renovation delay is frustrating (we're in the same boat with appliance purchases!), but based on all the shared experiences here, it really seems like patience is the best strategy. I'm definitely adopting Kennedy's Wednesday morning check approach from the start - no more obsessive refreshing for me! It's so reassuring to see how consistent everyone's timelines and experiences are. We're all just new homeowners going through the same verification process together. Thanks to everyone who's shared their knowledge and experiences - this thread should honestly be pinned as a resource for anyone dealing with their first 810 freeze! 🏠📋

I run a delivery business and when calculating my truck depreciation, I found that section 179 was way better for me than 200DB method since I could write off almost the entire cost in year 1. Have you considered that option?

Thanks for all the helpful advice everyone! I'm realizing I need to figure out the GVWR of my truck first since that seems to be a key factor. If it's over 6,000 lbs, it sounds like I might have better options than the 200DB method. @Romeo Quest and @Eve Freeman - those AI tax tools sound interesting, especially for someone like me who's still learning all these rules. I might give that a try since I'm clearly in over my head with all these depreciation methods and limits. One question though - if I do qualify for Section 179, can I still choose to do regular depreciation instead if I want to spread the deduction over multiple years? Sometimes it might make sense to not take such a huge deduction all at once depending on my income situation.