Does the FSA administrator ever question therapy expenses or ask for details beyond the superbill? I'm private about my mental health treatment.

In my experience, the FSA administrator has never questioned my therapy expenses or asked for additional details. The superbill usually just lists the service code and amount without any specific details about what was discussed in therapy. It typically shows something generic like "psychotherapy services" or a CPT code. FSA administrators are also bound by privacy rules, so they can't share information about your specific medical treatments with your employer. I've been submitting therapy expenses to my FSA for three years now without any privacy concerns.

Yep! I deducted my Talkspace expenses last year. Online therapy absolutely counts the same as in-person. Just make sure your digital receipts clearly show it was for mental health services. Mine said "psychotherapy session" and had the therapist's license number which was perfect for documentation.

Thank you all for the great advice! I'm going with e-filing for sure now. My amendment is pretty straightforward - just forgot to include some charitable donations. Does anyone know if there's a way to check the status of an e-filed amended return online? Or do I just have to wait?

Yes, you can definitely check the status online! Go to the IRS website and use the "Where's My Amended Return?" tool. You'll need to enter your SSN, date of birth, and zip code. It takes about 3 weeks for an e-filed amended return to show up in their system. Once it shows up, the tracking will tell you if your return is received, adjusted, or completed. The tool updates weekly, usually on Thursdays, so don't worry if you don't see updates every day. It's a great way to keep tabs on where things stand without having to call.

This is really important advice! I'd also recommend taking screenshots of any confirmation screens when you e-file. My tax software said my amended return was accepted, but when I checked the IRS site 4 weeks later, they had no record of it. Had to resubmit everything.

Tax liens generally remain in place during the OIC process. When you submit your offer, the IRS typically suspends collection activities but doesn't remove existing liens until the offer is accepted and you've fulfilled the terms of the agreement.

Thanks for clarifying. That makes sense - they wouldn't want to remove their security while the negotiation is still happening. Guess I'll have to live with the lien a bit longer!

I hadn't even heard about the currently not collectible option. That might be a good temporary solution while I get everything in order for an OIC. Is the application process similar? Do you use the same financial forms?

Yes, the application process uses similar financial disclosure forms - primarily Form 433-A or 433-F for individuals. You'll need to provide comprehensive financial information showing your income, expenses, assets, and liabilities to demonstrate that paying would create a financial hardship. The standard is generally that paying your tax debt would prevent you from meeting basic living expenses. It's less complicated than an OIC application since you're not proposing a settlement amount, just requesting temporary relief from collection.

Thanks for the suggestion. I actually checked the settlement website after I posted this and found a tiny section that mentioned "consult your tax advisor" 🙄 super helpful lol. But at least now I know I need to report part of it as taxable income even without a 1099.

Yeah, the "consult your tax advisor" line is their way of avoiding giving direct tax advice, super annoying! But at least you know what to do now. Keep all your settlement documentation just in case - the IRS probably won't care about a $750 payment but it's good to have backup if they ever question it.

How did you know which portion was punitive damages? My letter doesn't break it down that way.

Is the 1098-T required to claim the credit? My school is weird and doesn't always send them on time.

While the 1098-T is helpful documentation, it's not technically required to claim the Lifetime Learning Credit. If you don't receive one or it's incorrect, you can still claim the credit using your own records of qualified education expenses. Keep documentation like receipts, cancelled checks, credit card statements, and any official statements from your educational institution showing you paid qualified expenses. The burden is on you to prove eligibility if audited, so good record-keeping is important even without the 1098-T.

You can definitely claim both credits in the same tax year, but not for the same student. If you and your wife are both in school, you could potentially claim AOC for one person and LLC for the other, depending on eligibility. That's a great way to maximize education tax benefits on one return!