Can I ask how you found a reliable Enrolled Agent? I've been looking for someone to help with my tax situation but everyone I find online seems sketchy or has terrible reviews. Did you just Google local EAs or is there a better way to find them?

I found my EA through the National Association of Enrolled Agents website (naea.org) - they have a directory where you can search by location. I interviewed three before choosing one, asking specifically about their experience with unfiled returns and payment plans. Another good option is the IRS's own Directory of Federal Tax Return Preparers with Credentials, which lists all certified professionals. Some EAs specialize in exactly the kind of resolution work you need, and their credentials mean they're authorized to represent you in all matters before the IRS.

I used them 2 years ago. They were ok but not great. They did prepare all my returns but their communication was terrible - I'd go weeks without updates. Their initial quote was $3200 for 8 years but ended up at $4100 after "additional complexities." The work got done though and I'm back in compliance with the IRS now.

8 Do you really need to use red ink specifically? I don't have a red pen handy and wondering if black would be fine?

3 The IRS prefers red ink because it stands out to the processing center, but they'll still process your return if you use black ink. The most important thing is making sure you clearly write "Dual-Status Return" at the top of the first page. If you're using tax software that prints your return, you might need to manually write this after printing since most programs don't have an option to add this text automatically.

15 The rules are basically the same - any return that's filed on paper needs to have W-2s and certain 1099s (like 1099-R or 1099-NEC) attached. The difference is that with Dual Status returns, you have no choice but to paper file, while regular returns can usually be e-filed. With Dual Status returns, you may have additional documents to attach beyond what's typical for regular returns, such as Form 1042-S for US-source income as a nonresident, or documentation supporting your residency start/end date.

Does this affect whether the 10% early withdrawal penalty applies? I'm under 59.5 and concerned about getting hit with that on top of paying taxes on the earnings.

Great question. For the excess contribution amount itself, the 10% early withdrawal penalty doesn't apply when you're doing a return of excess contributions. However, the earnings portion of the excess contribution will be subject to the 10% penalty if you're under 59½, unless you qualify for another exception. The correct coding on the 1099-R helps ensure that only the earnings portion gets the penalty, not the entire distribution. That's why it's so important to specifically request a "return of excess contributions" and not just take a regular withdrawal.

I think they already did the recharacterization from Traditional to Roth, not the other way around. They found out their income was too high for deductible Traditional IRA contributions, so they moved it to Roth, but now they're a bit over the Roth limit.

Do you know if they ever retroactively apply new tax credits after processing? Like if I file without claiming CTC, would there be any chance they'd automatically add it later or do I HAVE to file an amended return?

In very limited situations, the IRS has automatically applied retroactive tax changes without requiring amended returns. This happened with some unemployment benefits during COVID, for example. However, this is definitely the exception rather than the rule. In most cases, they require taxpayers to file an amended return to claim additional credits that were changed after their original return was processed. I would never count on automatic adjustments - if you want the credit under the new rules, plan on filing an amended return.

This is actually pretty accurate lol. I've been watching this CTC bill and there's still a lot of disagreement between parties. Even if it does pass, there's a good chance they'll make it effective for tax year 2025 returns (filed in 2026) rather than the current filing season to avoid implementation chaos.

Does the mileage app distinguish between different types of business trips? Sometimes I'm visiting different locations for the same client project, and other times it's for separate clients. Would be great if I could categorize them.

Most mileage apps do let you categorize trips by client or project type. In MileIQ, you can create custom categories like "Client A research" or "Client B meetings." Some even let you add notes to each trip with specific details. The more detailed your records, the better position you'll be in if you ever get audited. The IRS loves to see that level of organization since it demonstrates your deductions are legitimate business expenses rather than personal trips you're trying to write off.

I thought they got rid of hobby expense deductions entirely with the Tax Cuts and Jobs Act? Can you still deduct ANY hobby expenses?