Thanks for the tip! I hadn't even thought about my state return. Will the IRS forward the information to my state tax agency or do I need to handle that completely separately?

The IRS doesn't forward information to state tax agencies for amended returns. You'll need to file a separate amended return with your state tax department using their specific amendment form (each state has its own version). Most states have a form similar to the federal 1040-X, but the exact name varies by state. For example, California uses Form 540X, New York uses Form IT-201-X, etc. Check your state's tax department website for the correct form and filing instructions.

You should talk to your company's payroll department. That's not normal and something is definitely wrong with their process if it happens repeatedly. Maybe ask them to hold your W-2 until they're absolutely sure the numbers are final.

Interesting point about international competition. Do other major economies like the EU, Japan, etc. also use flat corporate rates? Or are there any examples of major economies successfully using graduated corporate rates?

Yes, almost all major economies use flat corporate rates. The UK, Germany, France, Japan, Canada - all flat rates with various deductions and credits. China has a flat 25% standard rate with reductions for certain industries or regions. There are very few examples of graduated corporate rates in major economies. South Korea has a modestly graduated system with three brackets (10%, 20%, 22%), and the US actually had a slightly graduated system before the 2017 tax reform with brackets of 15%, 25%, 34%, and 35%, though with income phaseouts that effectively flattened it for many corporations. The trend globally has been toward flatter systems with targeted incentives rather than graduated rates.

Your facts about Amazon aren't quite accurate. While they did pay little federal income tax in some years (2017-2018 notably), that was because they used legal deductions for R&D, stock-based compensation, and carried-forward losses from earlier years when they weren't profitable. They've since paid billions in taxes. The tax code incentivizes certain behaviors like R&D and investment. That's by design, not cheating. And corporate profits that go to executive compensation get taxed as personal income at graduated rates. Stock buybacks now have an excise tax specifically to address that issue.

Do you track miles driving to your first pickup? I heard different things about whether that's deductible or not.

Yes, I do track miles to my first pickup, but there's some nuance here. If you're driving from home directly to your first delivery pickup, the IRS technically considers that a non-deductible commute. However, if you first drive to a "regular place of business" (like a specific area where you regularly start deliveries) and then to your first pickup, those miles can be deductible. The key is consistency and documentation. I have a designated "staging area" where I officially start work, which allows me to deduct more miles. Many tax professionals have different interpretations of this rule for gig workers, so it's something to discuss with a tax pro familiar with independent contractor rules.

I used it last year and it was OK but not great. It asks good questions about deductions but I still felt like I might be missing things. This year I'm trying FreeTaxUSA which is cheaper and handles self-employment pretty well from what I've heard.

What about vehicle advertising? I have my business logo and info on my vehicle. Is that deductible separately or is it considered part of the vehicle expense?

Vehicle advertising is absolutely deductible as a separate marketing expense, not as part of your vehicle costs. This includes permanent signage, vehicle wraps, magnetic signs, or even custom paint jobs with your business info. Save all receipts from the sign company or wrap installer. This is a great strategy because these advertising costs are separate from your vehicle deduction method. So even if you choose the standard mileage rate (which bundles most vehicle expenses together), you can still deduct the advertising separately as a marketing expense.

What mileage tracking app do you recommend? I've tried a couple but they drain my battery or forget to track sometimes.

Does this apply even if it's just a small amount of interest from the estate checking account? I'm in a similar situation and the estate only earned like $47 in interest.

If the estate earned less than $600 in total income after death, you generally don't need to file a Form 1041. So in your case with only $47 in interest, you wouldn't need to file an estate income tax return. That said, some executors choose to file anyway just to create a clear record, especially if they expect more income to come in later. But technically, the IRS doesn't require filing Form 1041 if the estate's income is below $600 for the tax year.

Good point! What states have these lower thresholds? Now I'm worried I might have missed something with my grandmother's estate.

As of 2025, there are about 12 states plus DC that have estate taxes with lower exemptions than federal. Massachusetts and Oregon have exemptions as low as $1 million, while states like New York and Hawaii have higher thresholds but still lower than federal. Then there are six states with inheritance taxes (Iowa, Kentucky, Maryland, Nebraska, New Jersey, and Pennsylvania) which work differently - the tax depends on who inherits, not the total estate value. Maryland actually has both types of taxes! I'm not an expert on all state rules, but definitely check your specific state's department of revenue website or ask your tax preparer about local requirements.