This is exactly the kind of complex situation where getting expert guidance upfront can save you major headaches later. Based on your wife's visa history - 6 years total with tourist visa initially, then F1 student visa that expired in January 2024 - you're dealing with multiple moving pieces that affect her tax status. A few key points to consider: 1. Since her F1 expired in January 2024 and you're going through the marriage-based green card process, her current status likely affects how the substantial presence test applies for 2024. 2. The fact that she's had no taxable income simplifies things somewhat, but you still need to determine her correct status to choose the right filing approach. 3. Be very careful about the worldwide income reporting requirement if you make any election to treat her as a resident - this catches a lot of people off guard. Given the complexity with mixed visa types, the 5-year F1 exemption period, and the transition to marriage-based status, I'd strongly recommend getting a definitive determination of her tax status before making any elections. The consequences of filing incorrectly with international situations can be significant, and the rules around these elections have specific timing requirements and documentation needs. Have you been able to get copies of all her I-94 entry/exit records? That's usually the starting point for any accurate substantial presence test calculation.

As someone who went through a very similar situation with my spouse from Mexico, I want to emphasize how important it is to get this right from the start. The substantial presence test calculation with mixed visa types is genuinely complex, and the stakes are high. One thing I learned the hard way - even though your wife has no income, you still need to be absolutely certain about her tax status before making any elections. We initially thought the 6013(g) election was a no-brainer since my husband had no income either, but it turns out there can be unexpected consequences down the road. For example, once you make the 6013(g) election, it continues for all subsequent years until you revoke it or certain events terminate it. This means if her status changes again during the green card process, you're still locked into treating her as a resident for tax purposes until you formally revoke the election. Also, don't underestimate the importance of proper documentation. The IRS requires specific statements attached to your return explaining why you're making the election and confirming you understand the obligations. Missing these requirements can invalidate the election. Given that her F1 expired in January 2024 and she's been here 6+ years, definitely focus on getting an accurate substantial presence test calculation first. That will tell you whether you even need to make an election or if she already qualifies as a resident alien naturally. The calculation might be simpler than you think once you properly account for the F1 exemption period rules.

Great question! Yes, you can absolutely deduct your sole proprietorship expenses even while working a W-2 job. The key thing to understand is that your business expenses go on Schedule C, and if they exceed your business income (creating a loss), that loss can reduce your overall taxable income - effectively lowering the taxes on your W-2 income. Your workshop rent, equipment costs, and supplier expenses are all legitimate business deductions as long as they're ordinary and necessary for your business operations. Keep detailed records of everything! One important tip: make sure you're treating this as a real business, not a hobby. The IRS looks for things like having a business plan, keeping good records, working to improve profitability, and having expertise in your field. Since you mentioned this is something you hope will become your main gig, that intent to profit is important to document. Also don't forget about potential home office deductions if you use part of your home for business activities, mileage for business trips, and business use of your phone/internet. Every legitimate expense helps reduce your tax burden.

This is such a great question and one I went through myself when I started my consulting business on the side! You're absolutely right that you can deduct those sole proprietorship expenses, and the way it works is pretty straightforward once you understand the mechanics. Your business expenses will go on Schedule C, and if those expenses exceed your business income (sounds like your situation), you'll have a net business loss. That loss then flows to your Form 1040 and reduces your total taxable income - which includes your W-2 wages. So while you're not directly writing off business expenses against W-2 income, the end result is the same: lower overall taxes. A few things to keep in mind: Make sure you're keeping meticulous records of all business expenses (receipts, bank statements, mileage logs). The IRS can get picky about sole proprietorship deductions, especially in the early years when you're showing losses. Also consider setting up a separate business checking account if you haven't already - it makes tracking so much cleaner and shows the IRS you're treating this as a legitimate business operation rather than a hobby. That workshop rent is definitely a solid business expense, as are your equipment and supplier costs. The hobby vs. business distinction others mentioned is real, but since you have actual income and clear intent to grow this into your main business, you should be in good shape as long as you're documenting everything properly.

One thing to watch out for is that sales tax rates can vary even within the same state! I live in a city with an additional local tax on top of the state rate, so I pay 8.25% total. But if I ship to my parents' house just 20 miles away in a different county, it's only 6.75%. Some online retailers have gotten really sophisticated with their tax calculations and will charge you the exact tax for your specific address, while others might just use a general state rate. That might explain some of the differences you're seeing.

This is such a timely question! I just went through this exact confusion last month when I was shopping for holiday gifts online. What really helped me understand it was realizing that the whole system changed dramatically after the 2018 South Dakota v. Wayfair Supreme Court case. Before that ruling, online retailers only had to collect sales tax if they had a physical presence in your state. Now, states can require tax collection based on economic thresholds - like if a company sells over $100,000 or makes 200+ transactions in your state per year. That's why you're seeing such inconsistent tax charges between different websites. For your specific situation in Nebraska, you should be paying tax based on your delivery address (destination-based), but only if the retailer has met Nebraska's economic nexus threshold. If they haven't, legally you're supposed to pay "use tax" when you file your state return, though as others mentioned, most people don't actually do this for small purchases. The travel scenario you mentioned is interesting - yes, you'd pay tax based on the hotel's location since that's where the item is being delivered. I learned this the hard way when I had something shipped to my cousin's place in a high-tax city!

THERE IS NO NEED TO AMEND YOUR FEDERAL! I work at a tax prep office and see this confusion all the time. TurboTax and other software make it difficult because they're designed for the most common scenario (where both returns need amending). Just call your state tax department directly or go to their website. Most states have a simple amendment form you can fill out without involving your federal return at all. Don't let TurboTax make you do unnecessary work! TT is just trying to charge you for another service you don't need. They make filing more complicated than it needs to be so they can justify their fees.

I just went through this exact same situation two weeks ago and can confirm what others are saying - you absolutely do NOT need to amend your federal return if there are no changes to it. I called the IRS directly (took forever to get through) and they explicitly told me that if my federal return correctly reported all income, there's no reason to file Form 1040-X. They said filing an unnecessary amendment could actually slow down processing and cause confusion. For my state amendment, I ended up bypassing TurboTax entirely and going straight to my state's tax website. Most states have their own amendment forms that are much simpler than dealing with tax software that assumes you need both. The whole process took about 30 minutes once I stopped fighting with TurboTax's interface. Save yourself the headache and just file the state amendment directly through your state's system. Your federal return is fine as-is!

I'm kinda confused by some of the comments here. I've been using Section 179 for years in my consulting business to offset my regular W-2 income. My accountant has never mentioned this limitation. Is this something new for 2025??

I think there's some confusion in this thread that needs clearing up. Emma, your TurboTax software is absolutely correct - Section 179 deductions cannot be used to create or increase a business loss that offsets other income like your W-2 wages. However, I want to clarify something important: if your photography business shows a net loss AFTER regular business expenses (not including Section 179), that loss CAN potentially offset your W-2 income. The key is that Section 179 specifically has this limitation, but other business deductions don't. For your situation with $4,200 in business income and $8,500 in equipment, here's what I'd suggest: Use Section 179 for up to $4,200 worth of equipment, then either use bonus depreciation (as Diego mentioned) or regular depreciation for the remaining $4,300. This way you get the immediate write-off for part of it while staying compliant with the rules. Also, don't forget that any unused Section 179 deduction carries forward to future years when your business hopefully generates more income. It's not lost forever!