Thanks for this! I didn't even think about the bank interest part. Just checked and I earned about $350 in interest from my savings account last year. Would that show up on some form I should have received?

Yes, your bank should have issued you a Form 1099-INT if you earned $10 or more in interest. Check your online banking portal - most banks now make these forms available electronically rather than mailing them. Look in the statements or tax documents section of your account. If you can't find it there, call your bank's customer service. Even if you didn't receive the form, you still need to report that $350 interest income on your tax return. TaxUSA has a specific section for interest income where you can enter this manually.

Where exactly is this Form Finder in TaxUSA? I've been using it for 3 years and never knew this existed!

Thank you so much for mentioning Form 8833! I just checked my 1042-S and they did apply a treaty benefit (there's something in Box 3 and 4). Will that form be available in regular tax software or do I need something special to file it?

Most major tax software packages like TurboTax, H&R Block, and TaxSlayer have Form 8833 available, but you might need to specifically search for it as it's not always included in the standard interview process. Some of the free filing options might not include this form. When you complete Form 8833, you'll need to reference the specific treaty article that applies to your situation. This information should be mentioned on your 1042-S in Box 13j typically. You'll also need to provide a brief explanation of the treaty benefit you're claiming. Don't worry too much about the technical language - just clearly state what type of income is covered (scholarship, fellowship, etc.) and which country's treaty applies to you.

Is that form 8843 required even if you're just getting a small amount on a 1042-S? I got one for a $500 prize from a contest but I'm a US citizen. Do i still need that form?

That's a really good point! How do you figure out the right amount for state though? Is there a calculator similar to the IRS withholding calculator?

Most states do have their own withholding calculators on their department of revenue or taxation websites. Just search for "[your state] withholding calculator" and you should find it. Some states like California and New York have particularly good calculators that will help you determine the right withholding amount based on your specific situation. If your state doesn't have a good calculator, a general rule of thumb is to withhold about 5-7% of your income for state taxes in high-tax states, or 3-5% in moderate-tax states, though this varies widely depending on your income level and state tax structure.

I've used https://smartasset.com/taxes/income-taxes to get a rough estimate. It's free and lets you play with different scenarios. Not super detailed but gives you a general idea of how changes affect your tax bill.

That's a really smart idea I hadn't considered! I do have student loans and I've been making payments. Would those interest deductions help in this situation? Also, is it too late to make retirement contributions that would count for last year?

Student loan interest can definitely help lower your MAGI, which is exactly what you want in this situation. You can deduct up to $2,500 in student loan interest depending on your income level. As for retirement contributions, you can still make IRA contributions for 2024 until the tax filing deadline in April 2025. If you have self-employment income, you might also be eligible for a SEP IRA which has higher contribution limits. Just make sure you specify that the contribution is for tax year 2024 when you make it. This is one of the few "retroactive" moves you can make that legally affects your previous year's taxes.

Yes! I successfully did this. The key is that you need to contact the marketplace and specifically request an "income adjustment review" for the previous year. The regular customer service reps often don't know about this process. Ask to speak with a supervisor or advanced resolution team. Explain that you made an honest mistake in reporting your income (confusing net vs. gross) and request the review. They may have you submit documentation of your actual income. In my case, they adjusted my 1095-A and issued a corrected one, which significantly reduced what I owed.

I did mail paper returns for all three years because I had to include some supporting documentation. Did you do anything special to make the process go faster for the 2021 return?

I didn't do anything special for the 2021 return - it just happened to get processed faster. Paper returns are unfortunately at the mercy of whichever processing center they get sent to and how backed up that specific location is. One thing I learned later is that you can actually e-file amended returns for tax years 2019 and later using certain tax software, even with supporting documentation (you can scan and attach PDFs). E-filed amendments tend to process much faster than paper ones. For future reference, that might be a better option if you ever need to amend again.

I did this for my amended returns too. The in-person agent was WAY more helpful than phone support. She even spotted a mistake in my 2019 amendment that would have caused issues and let me fix it on the spot.

That's great to hear your experience was similar! The in-person assistance is definitely underrated. The agents at the Taxpayer Assistance Centers seem to have more time to thoroughly review your situation compared to phone agents who are trying to get through as many calls as possible. I've found they can also sometimes expedite processing if you have a legitimate hardship situation or if there's been an unusually long delay. Did they offer to help speed things up in your case?